A _________ is an agreement between a commercial bank and a business that states the maximum amount of unsecured short-term borrowing the bank will make available to the firm over a given period of time, provided sufficient funds are available.
A. revolving credit agreement
B. line of credit
C. short-term self-liquidating loan
D. single payment note
Answer:B
A _________ is an agreement between a commercial bank and a business that states the maximum amount of unsecured short-term borrowing the bank will make available to the firm over a given period of time, provided sufficient funds are available.
A. revolving credit agreement B. line of credit C. short-term self-liquidating loan D. single payment note