Which of the following is true about borrowing money from a bank? A) Only the amount of the loan must be repaid. Eliminate B) Th
e amount of the loan plus interest must be repaid. C) There is no repayment necessary if unemployment occurs. D) There is no benefit to repaying the loan quickly.
Banks provide loans to finance the needs of economic agents (people or companies). These needs can be personal or business. For example, a person hires a loan to buy a home. A businessman hires a loan to increase the size of his factory.
The loan is secured by a contract where the contracting party agrees to repay the amount plus interest, which is the bank's profit. This is the way to get the financing done, after all the bank would not have the incentive to lend if it was not to recover the total plus interest.
After two-and-a-half years of war, during which almost two million Biafran civilians died from starvation caused by the total blockade of the region by the Nigerian government, Biafran forces under Nigeria's motto of "No-victor, No-vanquished" surrendered to the Nigerian Federal Military Government (FMG)
