1. (TRUE or FALSE) Julio has a very successful limousine service in Staten Island. In fact even with ten (10) cars on the road, he still has to turn away calls for rides. So he approaches his bank for a $500,000 loan in order to buy ten (10) more cars. However, in order to initiate this secured loan the bank needs to lower the risk of being repaid, so Julio agrees to allow the bank place a legal lien on his garage building which is worth $1 million, so if Julio does not repay the loan, then the bank will in fact legally own the garage. In banking terms this legal transaction is referred to as collateral a. FALSE b. TRUE 2. Maria owns a liquor store in Queens, New York. During this COVID-19 pandemic, her sales were quite steady. Last week she purchased $10,000 worth of fine wine and sold all of it for $25,000. So in accounting terms the amount of $10,000 is referred to as which of the following? None of the available choices are correct a. Depreciation Expenses b. Operating Expenses C. d. Gross Profit Cost of Goods Sold e. 3. George owns a pizzeria in lyn, and he buys his cheese and dough and sau from SYSCO. This firm provides its customers with the most widely used source of short-term funding, since it is the least expensive and the most convenient way of buying goods and services and paying for then later. This practice very popular among small businesses and large businesses alike is called? Short-Term Financing a. Revolving Credit Agreements b. Commercial Finance C. d. Trade Credit 4. Money that was invested in new or emerging companies (like Intel, Apple, Facebook and Google) or newly formed companies of this 2020 era, that are perceived as having great growth and profit potential is called? Cost of Capital a. Venture Capital b. c. Actually, none of the given choices Investment Banking d. Leverage Capital e