Final answer:
The correct term for an account with overdue payments is 'arrears', which is also used to describe payments due at the end of a period. The likelihood of a borrower's repayment impacts the value of their loan, with late payments reducing value and high profits potentially increasing it.
Step-by-step explanation:
The term that generally refers to the status of an account for which payment is overdue is arrears. Payment can be said to be in arrears if it's due at the end of a period instead of before it starts. Therefore, the correct answer to the question is D. Arrears. When assessing the value of a loan, if a borrower has been late on a number of loan payments, they are considered less likely to repay the loan on time, which could make the loan less valuable. Conversely, if a borrower is a firm with high profits, the loan could be more valuable because the firm is more likely to repay the loan.