97.6k views
5 votes
Those who lend money or deliver goods and services before being paid are called?

1) Creditors
2) Debtors
3) Investors
4) Suppliers

User Rndm
by
8.1k points

1 Answer

5 votes

Final answer:

Creditors are those who lend money or deliver goods and services before being paid. They play a crucial role in the financial capital market by providing loans or credit, often requiring various forms of security like cosigners or collateral. So, the correct answer is option 1.

Step-by-step explanation:

Individuals or entities that lend money or provide goods and services before being paid are known as creditors. This is a form of credit, which allows for the acquisition of goods and services with the understanding that payment will be made in the future, effectively creating a debt for the borrower.

In the financial capital market, the process of obtaining a loan can involve several steps, including filling out forms regarding income sources, undergoing a credit check, and potentially providing a cosigner or collateral to secure the loan.

So, the correct answer is option 1.

User Rosman
by
7.8k points