The unused portion of firm credit line

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Reference no: EM131343196

1. The unused portion of a firm s credit line is usually discussed in which part of the annual financial statement?

a. Income statement

b. Sources of liquidity section

c. Profit and loss section

Balance sheet

2. A "clean up" period is _____.

a. a period of time over which the lender defers interest to a later date on a borrower's line of credit

b. a period of time over which a company reduces its outstanding credit line balance to zero in order to demonstrate it has not become permanent capital

c. the removal of the compensating balance requirement on a line of credit

d. a periodic payment of all interest a borrower owes to date on a line of credit

Reference no: EM131343196

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