Which of the following statements about loan terminology is correct?

Multiple Choice

Loan covenants are the collateral provided by a borrower to a lender as security on a loan.

A secured loan means that the borrower has a pre$-$approved line of credit backing the debt.

Lenders can revise loan terms if a borrower violates a loan covenant.

All companies are able to establish lines of credit which will allow them to borrow money as needed, up to a

prearranged limit$.$