A. bond
B. mortgage
C. debentures
D. loan

Correct Answer:

Option B – mortgage

Explanation

A mortgage is a loan in which property or real estate is used as collateral. The borrower enters into an agreement with the lender (usually a bank) wherein the borrower receives cash upfront then makes payments over a set time span until he pays back the lender in full.

SEE ALSO  The share capital value that forms part of the balance sheet total is the?

Copyright warnings! Do not copy.