An amortized loan:

	a.	Is a loan made for the purchase of land or other real property, usually secured by the assets purchased.
	b.	Is a loan that is repaid with a series of scheduled principal and interest payments.
	c.	Must be a balloon payment loan.
	d.	Is a loan for which some asset is pledged as collateral.

Foremost Farm, Inc. has $1,000,000 in assets (market value) and $400,000 in net worth (equity). What is their debt-to-asset ratio?

	a.	.67
	b.	.40
	c.	.60
	d.	1

Leasing may be a cheaper way to gain use of assets as opposed to owning.

True

False