Examlex
Which of the following is a characteristic of open-book management?
Prepayment
The act of repaying a loan or part of a loan before its due date, which can sometimes lead to penalties or the waiving of future interest.
Collateral
refers to assets that are pledged as security for the repayment of a loan, ensuring the lender can seize the assets if the loan is not repaid.
Reimbursement
The process of compensating someone for an expense they have incurred.
Surety
A person or entity that takes responsibility for another's performance of an undertaking, such as fulfilling the terms of a contract.
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