Question

Credit cards have all of the following EXCEPT

a. high interest rate
b. equity investment
c. no set repayment schedule
d. not being tied to a particular asset

Answer 1

Credit cards have a high interest rate, no set repayment schedule, and are not tied to a particular asset, but they are not an equity investment.

Step-by-step explanation:

Credit cards have all of the following EXCEPT:

1. High interest rate: Credit cards often have high interest rates, which can make it expensive to carry a balance.
2. Equity investment: Credit cards are not an equity investment as they do not represent ownership in a company or asset.
3. No set repayment schedule: Credit cards allow for flexibility in repayment, but they do have minimum payment requirements and due dates.
4. Not being tied to a particular asset: Credit cards are not tied to a specific asset like a mortgage or car loan.

investment, on the other hand, refers to the buying of shares of stock in a company, thereby obtaining a level of ownership, which is not a feature associated with credit cards.