This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: To compensate for the uncertainty of future interest rates and the fact that the longer the term of ... (Read 77 times)

asan beg

  • Hero Member
  • *****
  • Posts: 570
on: Jul 11, 2018
To compensate for the uncertainty of future interest rates and the fact that the longer the term of a loan the higher the probability that the borrower will default, the lender typically ________.
 
  A) charges a higher interest rate on long-term loans
  B) reserves the right to change the terms of the loan at any time
  C) includes excessively restrictive debt provisions
  D) reserves the right to demand immediate payment at any time

Question 2

The ________ from the sale of a security are the funds actually received from the sale after ________.
 
  A) gross proceeds; adding the after-tax costs
  B) gross proceeds; reducing the flotation costs
  C) net proceeds; reducing the flotation costs
  D) net proceeds; adding the after-tax costs


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

olivia_paige29

  • Sr. Member
  • ****
  • Posts: 334
Reply #1 on: Jul 11, 2018
Answer to Question 1

A

Answer to Question 2

C


asan beg

  • Member
  • Posts: 570
Reply 2 on: Jul 11, 2018
Great answer, keep it coming :)

mohan

  • Member
  • Posts: 362
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

« previous next »
 

Did you know?

Chronic necrotizing aspergillosis has a slowly progressive process that, unlike invasive aspergillosis, does not spread to other organ systems or the blood vessels. It most often affects middle-aged and elderly individuals, spreading to surrounding tissue in the lungs. The disease often does not respond to conventionally successful treatments, and requires individualized therapies in order to keep it from becoming life-threatening.

Did you know?

Never take aspirin without food because it is likely to irritate your stomach. Never give aspirin to children under age 12. Overdoses of aspirin have the potential to cause deafness.

Did you know?

People with high total cholesterol have about two times the risk for heart disease as people with ideal levels.

Did you know?

Adolescents often feel clumsy during puberty because during this time of development, their hands and feet grow faster than their arms and legs do. The body is therefore out of proportion. One out of five adolescents actually experiences growing pains during this period.

Did you know?

It is believed that the Incas used anesthesia. Evidence supports the theory that shamans chewed cocoa leaves and drilled holes into the heads of patients (letting evil spirits escape), spitting into the wounds they made. The mixture of cocaine, saliva, and resin numbed the site enough to allow hours of drilling.

Metabolic rates of animals that differ in size. Metabolic rates of animals that differ in size.
Cellular changes associated with short-term and long-term memory in the sea slug. Cellular changes associated with short-term and long-term memory in the sea slug.
Among the health benefits of marriage is a longer life. Among the health benefits of marriage is a longer life.
The level of future emissions is closely linked to the rate of population growth The level of future emissions is closely linked to the rate of population growth
Fraction of obese individuals by state in 1998 and 2008. In 1998, 42 states had obesity rates below Fraction of obese individuals by state in 1998 and 2008. In 1998, 42 states had obesity rates below
Rita borrows $4,500 from the bank at 9 percent annually compounded interest to be repaid in ... Rita borrows $4,500 from the bank at 9 percent annually compounded interest to be repaid in ...
Video: Arthroscopy

For a complete list of videos, visit our video library