In Order to Avoid a Credit Reduction for Title XII

question 93

Multiple Choice

In order to avoid a credit reduction for Title XII advances, a state must repay the loans by:

• A) the end of the year of the loans.
• B) the end of the year the credit reduction is scheduled to take effect.
• C) the end of the third year after the year of the loans.
• D) November 10 of the year the credit reduction is scheduled to take effect.
• E) June 30 of the year after the loans.

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Definitions:

Profitability

A measure of the efficiency and success of a business in generating profits from its operations over a period of time.

Horizontal Analysis

A financial analysis technique that examines the changes in the amounts of specific financial statement items over a period of time.

Base Year Figure

A reference point in time used for comparison in financial and economic analysis to track changes and trends.

Common-sized Income Statement

An income statement in which each line item is expressed as a percentage of sales revenue, facilitating comparison across periods and companies.