An Interest Rate Collar Is the Purchase of a Cap

question 50

True/False

An interest rate collar is the purchase of a cap and a floor.

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Definitions:

Operant Conditioning

A method of learning that employs rewards and punishments for behavior.

Operant Conditioning

An educational method where the intensity of a behavior is adjusted by rewards or consequences.

Vicarious Learning

Learning that occurs by observing the actions and outcomes of others’ behavior, rather than through direct experience.

Rewarded

Given something, usually of value or significance, in recognition of service, effort, or achievement.