Which of the Following Statements Best Describes a Fully Amortised

question 14

Multiple Choice

Which of the following statements best describes a fully amortised term loan?

• A) A fully amortised term loan is an interest-only loan with principal repayable at maturity.
• B) A fully amortised term loan has periodic repayments, including interest and principal reduction.
• C) Interest repayments on a fully amortised term loan are fixed for the period of the loan.
• D) A fully amortised term loan is a 'low-start' loan whose repayments are increased over the term.

---

Definitions:

Humanistic

Pertaining to a psychological perspective that emphasizes individual potential for growth and the importance of human values.

Psychoanalytic

Relating to a theory and therapy developed by Sigmund Freud that emphasizes unconscious psychological processes and contends that childhood experiences are crucial in shaping adult personality.

Cognitive-Behavioural

A therapeutic approach combining cognitive and behavioral techniques to alter maladaptive thoughts and behaviors.

Defense Mechanism

Psychological strategies brought into play by the unconscious mind to manipulate, deny, or distort reality in order to defend against feelings of anxiety and unacceptable impulses and to maintain one's self-schema.