Busıness Fınance Iı Deneme Sınavı Sorusu #970707

Which of the following is not true about revolving loans?


With revolving credits, a limit of credit is set on the credit account of the borrower.

The limits of credit and the is determined in a loan agreement. 

From concluding a loan contract till maturity date the borrower can draw the credit repeatedly within the limit.

The limit of the credit is set as a debit of a company’s current account if the limit is overdrawn.

The due date is determined in a loan agreement.


Yanıt Açıklaması:

With revolving credits, a limit of credit is set on the credit account of the borrower and both limits of credit and the due date are determined in a loan agreement. From concluding a loan contract till maturity date the borrower can draw the credit repeatedly within the limit. The bank overdraft is based on the same principle as the revolving loans, but the limit of the credit is set as a debit of a company’s current account. The correct answer is D.

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