An open line of credit that can be used for any purchases as long as you have the credit line for it. Payment amounts vary each pay period based on the size of the debt. What type of credit is this?

	1.	Installment
	2.	Revolving
	3.	Secured
	4.	Unsecured

Assuming interest rates are greater than zero, which of the following cash-flow streams would you prefer?

	1.	Year 1: $3,000, Year 2: $3,500, Year 3: $4,000, Year 4: $2,000
	2.	Year 1: $4,000, Year 2: $3,500, Year 3: $3,000, Year 4: $2,000
	3.	Year 1: $2,000, Year 2: $3,000, Year 3: $3,500, Year 4: $4,000
	4.	Youre indifferent as they all add up to $12,500