Which situation is generally a consequence of overly lenient loan repayment terms A. The borrower does not have the needed cash flow for operations. B. The lender defers solely to the customer's judgment. C. The borrower uses the funds for purposes other than loan repayment. D. The lender has much control over how funds are used by the borrower.
Which situation is generally a consequence of overly lenient loan repayment terms A. The borrower does not have the needed cash flow for operations. B. The lender defers solely to the customer's judgment. C. The borrower uses the funds for purposes other than loan repayment. D. The lender has much control over how funds are used by the borrower.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Transcribed Image Text:Question 46 of 50.
Which situation is generally a consequence of overly lenient loan repayment terms?
A. The borrower does not have the needed cash flow for operations.
B. The lender defers solely to the customer's judgment.
C. The borrower uses the funds for purposes other than loan repayment.
D. The lender has much control over how funds are used by the borrower.
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