Valid Reasons for Using Credit Include All of the Following

question 112

Multiple Choice

Valid reasons for using credit include all of the following except

• A)medical emergency
• B)acquiring a car to return to the workforce
• C)borrowing for a higher education
• D)borrow for everyday living expenses
• E)buying an item now will cost less than in the future

---

Definitions:

Fair Value

The price that would be received for selling an asset or paid to transfer a liability in an orderly transaction between market participants.

Equity Securities

Financial instruments indicating ownership in a company, such as stocks, which may offer dividends and voting rights.

Strategic Investments

Strategic Investments are long-term investments made by a company in other companies or assets to further its business objectives and gain competitive advantages.

Trading Investments

Securities that a company buys and holds primarily for the purpose of selling them in the near term to generate income.