Match the term with its definition.
-A long-term loan with real property held as collateral
A)balloon payment
B)business angels
C)chattel mortgage
D)crowdfunding
E)factoring
F)initial public offering (IPO)
G)private placement
H)real estate mortgage

Question

Quizplus · Accepted Answer

A real estate mortgage is a long-term loan that is secured by real property as collateral.

Answer: C
 A chattel mortgage is a loan that is secured by personal property, such as equipment or inventory, rather than real property.

Answer: A
 A balloon payment is a large payment that is due at the end of a loan term, often associated with long-term loans such as mortgages.

Answer: F
 An initial public offering (IPO) is the first time a company's stock is offered to the public, allowing it to raise capital by selling shares.

Answer: G
 A private placement is the sale of securities to a select group of investors rather than the general public, often to raise capital for a business.

Answer: B
 Business angels are individual investors who provide capital for startups, often in exchange for an ownership stake in the company.

Answer: D
 Crowdfunding is the practice of raising small amounts of money from a large number of people, often through online platforms, to fund a project or venture.

Answer: E
 Factoring is the process of selling accounts receivable to a third party at a discount in order to receive cash immediately.

Match the Term with Its Definition