I believe the answer is: Personal loans offer lump sums of money, while credit cards set a maximum amount a person can borrow
In personal loan, the amount of loan and interest rate that the borrower have to pay would stay the same regardless if that borrower use the money or not.
In Credit card, the borrower only required to pay the amount that they use plus interest rate.
The credit card requires no collateral but in case of personal loan, banks asks for some collateral.
In personal loans, a huge amount is given on loan but credit card has a certain fixed limit.
Further Explanation:
Personal loan and a credit card:
The personal loan is taken for personal purposes, and the amount given for the loan is much greater than the credit card limit.
In personal loan, the interest rate and the principle amount paid is the same, whether the money is being used or not. But in the case of credit card, only the amount used by the cardholder has to be paid with the interest rate.
The major difference between the personal loan and the credit card is the collateral. In personal loans, the bank gives the loan on the basis of collateral but in the case of credit card, there is no requirement of the collateral. And collateral is asked by the bank which is a kind of security in case the loan is not repaid by the person who has taken the loan. His or her collateral will be seized by the bank.
Learn More:
1. Credit card
2. Interest value
3. Credit card
Answer Details:
Grade: High school
Chapter: Loans
Subject: Business studies
Keywords:
Which describes the difference between a personal loan and a credit card, in personal loan, the amount is huge than the credit card, credit card has a certain limit. Credit card requires no collateral but in the personal loan, the bank asks for the collateral.
Answer: Timeliness
Explanation: In simple words, timeliness refers to the concept under which an information is being given or transferred to the user in an appropriate time so that is can be used effectively for the intended purpose.
In the given case, Maltec were placing their financial statements 10 days earlier.
Hence from the above we can conclude that the correct option is C .
Answer:
the price of the zero-coupon bond is approximately GBP 4,524.21. This means that an investor would need to pay GBP 4,524.21 upfront to purchase the bond and would receive GBP 10,000 at maturity in 16 years.
Explanation:
A zero-coupon bond is a type of bond that does not pay any interest to the bondholders. Instead, it is issued at a discount from its face value and matures at a future date when the bondholder receives the full face value of the bond.
In this case, the company has issued a zero-coupon bond with a face value of GBP 10,000 and a maturity period of 16 years. The market rate for such bonds is 8%, compounded semiannually.
To calculate the price of the bond, we need to discount the future cash flow of GBP 10,000 back to the present value using the market rate of 8%. Since the interest is compounded semiannually, we need to adjust the interest rate accordingly.
The formula to calculate the present value of a future cash flow is:
PV = FV / (1 + r/n)^(n*t)
Where:
PV = Present Value
FV = Future Value
r = Interest Rate
n = Number of compounding periods per year
t = Number of years
In this case, FV is GBP 10,000, r is 8% (0.08), n is 2 (semiannual compounding), and t is 16 years.
Using the formula, we can calculate the present value as follows:
PV = 10,000 / (1 + 0.08/2)^(2*16)
PV = 10,000 / (1.04)^(32)
PV = 10,000 / 2.208
PV ≈ GBP 4,524.21
B. Time order
C. Process analysis
D. Classification
Hello darlings, The answer to this is Time order.
God bless you greatly :)