ECONOMICS
SAVING AND INVESTING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Short term loans
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Intermediate-term loans
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Long-term loans
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Operating-term loans
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Detailed explanation-1: -Operating expenses include rent, equipment, inventory costs, marketing, payroll, insurance, step costs, and funds allocated for research and development.
Detailed explanation-2: -What is a Short Term Loan? A short term loan is a type of loan that is obtained to support a temporary personal or business capital need. As it is a type of credit, it involves repaying the principle amount with interest by a given due date, which is usually within a year from getting the loan.
Detailed explanation-3: -Interest payments: Many companies finance their growth by taking on debt. Interest payments on these loans are considered non-operating expenses because they are not directly related to core operating activities.
Detailed explanation-4: -A short-term loan is a credit facility extended to individuals and entities to finance a shortage of cash. Examples include credit card, bank overdraft, trade credit. This makes it is possible to buy goods or services from a supplier on credit rather than paying cash up front. read more, payday loans, etc.