Examlex

Solved

A Parallel Loan Represents Simultaneous Loans Provided by Two Parties

question 51

True/False

A parallel loan represents simultaneous loans provided by two parties with an agreement to repay at a specified point in the future.


Definitions:

Externalities

Economic side effects or consequences that affect uninvolved third parties; can be either positive or negative.

Externality

Actions of one party impose costs or benefits on a second party.

Economy of Scale

The cost advantages that enterprises obtain due to their scale of operation, typically resulting in decreased per-unit cost as production increases.

Public Good

A good that is non-excludable and non-rivalrous, meaning it can be used by everyone and one person's use doesn't reduce its availability to others.

Related Questions