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Loans Made Between Borrowers and Lenders Are

Question 1

Multiple Choice

Loans made between borrowers and lenders are:


A) liabilities to the lenders and assets to the borrowers since the borrower obtains the funds.
B) assets to the lenders and liabilities of the borrowers since the promises are made to the lenders.
C) not part of either parties' assets or liabilities until the loans are repaid.
D) liabilities to both the lenders and the borrowers.

Correct Answer:

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