When Will the National Credit Code NOT Apply to a Short

question 12

Multiple Choice

When will the National Credit Code NOT apply to a short term loan?

• A) Where the term is less than 62 days, the credit charges are less than 5% of the amount of the loan and less than 24% per annum.
• B) The National Credit Code always applies to short term loans.
• C) When it is a 'pay day' loan.
• D) Where the term is less than 62 days and the credit charge is fixed regardless of the amount borrowed.

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Definitions:

Supply Chain

The sequence of processes involved in the production and distribution of a commodity, from raw materials to delivery of the finished product to the consumer.

Lower Tariffs

Reducing taxes or duties to be paid on imported goods, usually to encourage international trade.

Firm's Production

The total output of goods and services produced by a company within a specific period.

Gray Market

The trade of legal goods through unauthorized distribution channels, distinct from black market goods which are illegal.