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The More Variable a Borrower's Cash Flows Are,the Lower the Fixed

question 43

True/False

The more variable a borrower's cash flows are,the lower the fixed charge coverage ratio should be to limit risk.


Definitions:

Zygote

The initial cell formed when a new organism is produced by sexual reproduction, resulting from the union of sperm and egg cells.

Chromosomes

Structures within cells that contain DNA and carry genetic information important for the development, functioning, and reproduction of living organisms.

Fertilization

The union of the ovum and sperm.

Recessive

Pertaining to a gene that is expressed in the phenotype only when its allele is identical, needing two copies (one from each parent) to exhibit the trait.

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