In Discounting a Note Payable, the Principal of the Loan

question 7

Multiple Choice

In discounting a note payable, the principal of the loan left after the discount has been subtracted is called the _____.

• A) proceeds
• B) discounted principal
• C) net principal
• D) maturity value

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Definitions:

Behaviourism

A theoretical orientation based on the premise that scientific psychology should study only observable behavior and investigates how organisms learn new behaviors or modify existing ones, depending on whether events in their environments reward or punish these behaviors.

Unconscious

A part of the mind that hosts thoughts, memories, and desires not present in conscious awareness, influencing behavior and decisions.

Sigmund Freud

An Austrian neurologist and the founder of psychoanalysis, a method for treating psychopathology through dialogue between a patient and a psychoanalyst.

Reinforcement Techniques

Methods used in behaviorism to increase or decrease the likelihood of a specific behavior by adding or removing stimuli following the behavior.