Tangshan Mining Borrowed $10,000 for One Year Under a Line

question 104

True/False

Tangshan Mining borrowed $10,000 for one year under a line of credit with a stated interest rate of 8 percent and a 10 percent compensating balance. Thus, the firm keeps a balance of about $800 in its checking account.

---

Definitions:

Subject

The primary topic or entity being discussed or studied in a document, conversation, or analysis.

Action

The process or state of acting or doing something, typically to achieve a specific goal or result.

Antecedent

Refers to a thing or event that existed before or logically precedes another.

Modifier

A word, phrase, or clause that adds description to or qualifies another word in a sentence, changing its meaning.