8/12/24, 4:42 PM Assessment 1: Attempt review
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FIN3702-24-S2 Welcome Message Assessment 1
QUIZ
Started on Monday, 12 August 2024, 4:33 PM
State Finished
Completed on Monday, 12 August 2024, 4:42 PM
Time taken 8 mins 34 secs
Marks 20.00/20.00
Grade 100.00 out of 100.00
Question 1
Correct
Mark 1.00 out of 1.00
Which of the following is appropriate collateral for a
loan secured under a floating inventory lien?
1.
Cars
2.
Paper clips
3. Drill presses
4. File cabinets
Your answer is correct.
The correct answer is:
Paper clips
Question 2
Correct
Mark 1.00 out of 1.00
A firm has issued R2 million worth of commercial
paper that has a 90-day maturity and sells for R1
950 000. The approximate annual interest rate on
the issue of commercial paper is … (assume 365
days in a year).
1. 5%
2. 11%
3. 21%
4. 23%
Your answer is correct.
The correct answer is:
11%
https://mymodules.dtls.unisa.ac.za/mod/quiz/review.php?attempt=20830733&cmid=1002300 1/9
, 8/12/24, 4:42 PM Assessment 1: Attempt review
Question 3 Font size A- A A+ Site color R A A A
Correct
Mark 1.00 out of 1.00
Lenders recognize that by having an interest in
collateral they can reduce losses if the borrowing
firm defaults, …
1. and the presence of collateral reduces the
risk of default.
2. but the presence of collateral has no
impact on the risk of default.
3. therefore, lenders prefer to lend to
customers from whom they are able to
require collateral.
4. therefore, lenders will impose a higher
interest rate on unsecured short-term
borrowing.
Your answer is correct.
The correct answer is:
but the presence of collateral has no impact on the
risk of default.
Question 4
Correct
Mark 1.00 out of 1.00
A Taijikwan Mining firm borrowed R100,000 for one
year under a revolving credit agreement that
authorized and guaranteed the firm access to
R200,000. The revolving credit agreement had a
stated interest rate of 7.5% and charged the firm a
1% commitment fee on the unused portion of the
agreement. Based on this information, the effective
annual interest rate on the loan was …
1. 7.5%
2. 8.0%
3. 8.5%
4. 9.0%
Your answer is correct.
The correct answer is:
8.5%
https://mymodules.dtls.unisa.ac.za/mod/quiz/review.php?attempt=20830733&cmid=1002300 2/9
Font size A- A A+ Site color R A A A
FIN3702-24-S2 Welcome Message Assessment 1
QUIZ
Started on Monday, 12 August 2024, 4:33 PM
State Finished
Completed on Monday, 12 August 2024, 4:42 PM
Time taken 8 mins 34 secs
Marks 20.00/20.00
Grade 100.00 out of 100.00
Question 1
Correct
Mark 1.00 out of 1.00
Which of the following is appropriate collateral for a
loan secured under a floating inventory lien?
1.
Cars
2.
Paper clips
3. Drill presses
4. File cabinets
Your answer is correct.
The correct answer is:
Paper clips
Question 2
Correct
Mark 1.00 out of 1.00
A firm has issued R2 million worth of commercial
paper that has a 90-day maturity and sells for R1
950 000. The approximate annual interest rate on
the issue of commercial paper is … (assume 365
days in a year).
1. 5%
2. 11%
3. 21%
4. 23%
Your answer is correct.
The correct answer is:
11%
https://mymodules.dtls.unisa.ac.za/mod/quiz/review.php?attempt=20830733&cmid=1002300 1/9
, 8/12/24, 4:42 PM Assessment 1: Attempt review
Question 3 Font size A- A A+ Site color R A A A
Correct
Mark 1.00 out of 1.00
Lenders recognize that by having an interest in
collateral they can reduce losses if the borrowing
firm defaults, …
1. and the presence of collateral reduces the
risk of default.
2. but the presence of collateral has no
impact on the risk of default.
3. therefore, lenders prefer to lend to
customers from whom they are able to
require collateral.
4. therefore, lenders will impose a higher
interest rate on unsecured short-term
borrowing.
Your answer is correct.
The correct answer is:
but the presence of collateral has no impact on the
risk of default.
Question 4
Correct
Mark 1.00 out of 1.00
A Taijikwan Mining firm borrowed R100,000 for one
year under a revolving credit agreement that
authorized and guaranteed the firm access to
R200,000. The revolving credit agreement had a
stated interest rate of 7.5% and charged the firm a
1% commitment fee on the unused portion of the
agreement. Based on this information, the effective
annual interest rate on the loan was …
1. 7.5%
2. 8.0%
3. 8.5%
4. 9.0%
Your answer is correct.
The correct answer is:
8.5%
https://mymodules.dtls.unisa.ac.za/mod/quiz/review.php?attempt=20830733&cmid=1002300 2/9
