Question

José wants to have money available for any future purchase he desires. What Is his BEST choice to assure that he has open-ended credit? ОА a single lump-sum credit OB. an installment cash credit Ос. an installment sales credit OD a bank line of credit​

Answer 1

The best choice that would assure and guarantee that José has open-ended credit is: D. a bank line of credit.

A credit can be defined as an amount of money that is being borrowed from a lender by a borrower and it is expected to be paid back with interest at an agreed date.

Generally, there are three (3) main types of credit and these include:

• Revolving credit

• Installment or closed-end credit

• Open-end credit

An open-end credit refers can be defined as a pre-approved line of credit (loan) that is granted to a borrower by a financial institution (bank) and it can be used repeatedly up to a specific preset limit. Thus, an open-end credit is typically used for many purchases over a period of time rather than just a single purchase.

In conclusion, the best choice that would assure and guarantee that José has open-ended credit is a bank line of credit because it grants him a certain limit of credit.

Read more: brainly.com/question/7581600