If the Borrower Prepays Interest,the Inflow of Future Economic Benefits

question 62

True/False

If the borrower prepays interest,the inflow of future economic benefits represented by the prepayment would not constitute an item of revenue to the lender because the lender has a present obligation to the borrower to provide finance for the period to which the prepayment relates.

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Phonebook

A printed listing of individuals' and organizations' telephone numbers, addresses, and sometimes additional information, grouped geographically.

Expense Ratios

Financial metrics that measure the efficiency of a fund by comparing the total expenses to the total assets under management.

Profits

The financial gain obtained when the revenue earned from business activities exceeds the expenses, costs, and taxes needed to sustain the activities.

Assets

Resources owned by a business or individual that have economic value or potential to provide future benefits.