Which of the Following Is True About the Truth in Lending

question 35

Multiple Choice

Which of the following is true about the Truth in Lending Act (TILA) ?

• A)Extending credit must be the creditor's primary business.
• B)A creditor must require payment in more than two installments.
• C)A debtor must be a natural person,not a business organization.
• D)Consumer credit includes credit extended for agricultural purposes.

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Definitions:

AVC

Average Variable Cost is the total variable cost per unit of output.

ATC

Average Total Cost; the per-unit cost of production, calculated by dividing the total cost by the quantity of output produced.

Marginal Output

The additional output that results from increasing the production input by one unit.

Total Output

The total value of all goods and services produced in an economy during a specific period.