Borrowing (Junior Cert Business Studies): Quizzes
📚Quizzes
Practise the questions
13 questions from this quiz
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Practise the questions
13 questions from this quiz
What is borrowing?
What is borrowing?
Obtaining money that must be repaid with interest
What is another term for borrowing?
What is another term for borrowing?
Buying on credit
Why does borrowing money come with a cost?
Why does borrowing money come with a cost?
Borrowers must pay interest on what they owe
Which is a main reason people borrow money?
Which is a main reason people borrow money?
To buy expensive items like a house or car
What principle should guide borrowing decisions?
What principle should guide borrowing decisions?
Borrowing period should match the purpose
What type of loan should be used for buying a home?
What type of loan should be used for buying a home?
Long-term loan
Income £2,500, expenses £1,800, repayment £600. Can you afford this loan?
Income £2,500, expenses £1,800, repayment £600. Can you afford this loan?
Yes, you can likely afford this loan
What should you do if leftover money is less than the required repayment?
What should you do if leftover money is less than the required repayment?
Borrow less, extend term, or cut expenses
Which is a source of borrowing?
Which is a source of borrowing?
Credit unions
Why should you shop around when borrowing?
Why should you shop around when borrowing?
Different lenders offer different rates/terms
What is collateral?
What is collateral?
An asset securing a loan
What is a guarantor?
What is a guarantor?
Someone who repays your loan if you can't
What does APR show?
What does APR show?
True yearly cost including interest & charges