23-39 a Digital Default Option Pays a Stated Amount in the Event

question 102

True/False

23-39 A digital default option pays a stated amount in the event that a portion of the loan is not paid.

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Definitions:

Generates Revenues

Activities or assets within an organization that contribute to earning income from sales of goods or services.

Incurs Costs

To have expenses or to bear the expense of an action or operation.

Ratio Scale

A quantitative scale where there is a true zero and equal intervals between neighboring points, allowing for the measurement of absolute quantities and the comparison of ratios.

Measurement

Measurement involves determining the size, quantity, or amount of something, typically by comparing it to a standard unit.