1. Which statement is correct:

   	A.	The rate of interest on secured loans is typically lower than that on comparable unsecured debt.
   	B.	The interest rate on a line of credit is normally fixed and pegged to prime.
   	C.	The presence of collateral has no impact on the risk of default by the borrower.
   	D.	The goal of managing trade and other payables is to settle the firm's short term debt as soon as possible without ruining the firm's credit rating.