11-50 Which of the Following Is Not a Characteristic of a Loan

question 78

Multiple Choice

11-50 Which of the following is not a characteristic of a loan commitment?

• A)The maximum amount of the loan is negotiated at the time of the loan agreement.
• B)The interest rate on fixed-rate loans is determined at the time of the loan takedown.
• C)Floating-rate loans transfer the interest rate risk to the borrower.
• D)The time period for which the loan is available is negotiated at the time of the loan agreement.
• E)In a floating-rate loan the borrower pays interest rate in force when the loan is actually taken down.

---

Definitions:

Learn

The acquisition of knowledge or skills through experience, study, or by being taught.

Watching Others

The act of observing the behaviors, actions, or interactions of others, often to learn, analyze, or simply out of curiosity.

Humanistic Theory

A psychological perspective emphasizing individual potential and personal growth, focusing on human values, aspirations, and needs.

Behavioral Theories

Approaches in psychology that emphasize the study of observable behaviors and the external factors that influence them.