The financial manager of Carolina Graphics negotiated a ________ with her bank that allows Carolina to borrow up to $50,000 without collateral. This arrangement eliminates the need to renegotiate the terms of the loan and complete new paperwork each time Carolina borrows money. The preapproved short-term loan agreement is contingent upon the bank having the funds available

Question

Quizplus · Accepted Answer

A line of credit is a preapproved short-term loan agreement that allows a company to borrow up to a certain amount without the need for collateral, and eliminates the need to renegotiate terms and complete new paperwork for each borrowing instance. This type of arrangement is contingent upon the bank having the funds available.

The Financial Manager of Carolina Graphics Negotiated a ________ with Her