QuestionAugust 9, 2025

square is property that is pledged to a lender to guarantee payment in the event that the borrower is unable to make debt payments. Debt contracts are A. established by borrowers to differentiate themselves from other individuals or firms. B. very simple legal documents that place restrictions on the borrower. C. meant to guide relatively small businesses obtain some additional investment. D. long legal documents with substantial provisions.

square is property that is pledged to a lender to guarantee payment in the event that the borrower is unable to make debt payments. Debt contracts are A. established by borrowers to differentiate themselves from other individuals or firms. B. very simple legal documents that place restrictions on the borrower. C. meant to guide relatively small businesses obtain some additional investment. D. long legal documents with substantial provisions.
square  is property that is pledged to a lender to guarantee payment in the event that the borrower
is unable to make debt payments.
Debt contracts are
A. established by borrowers to differentiate themselves from other individuals or firms.
B. very simple legal documents that place restrictions on the borrower.
C. meant to guide relatively small businesses obtain some additional investment.
D. long legal documents with substantial provisions.

Solution
4.4(223 votes)

Answer

D. long legal documents with substantial provisions. Explanation 1. Identify the definition of collateral Collateral is property pledged to a lender to guarantee payment if the borrower defaults. 2. Analyze options for debt contracts Debt contracts are typically complex legal documents with many provisions to protect lenders.

Explanation

1. Identify the definition of collateral<br /> Collateral is property pledged to a lender to guarantee payment if the borrower defaults.<br />2. Analyze options for debt contracts<br /> Debt contracts are typically complex legal documents with many provisions to protect lenders.
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