Single Answer MCQ
Q-00045467
What might make the terms of credit unfavorable for a small farmer?
1
Access to diverse credit sources
2
Availability of required collaterals
3
High interest rates and demanding repayment schedules
4
Financial literacy and support systems
Answer and Solution
Answer
C. High interest rates and demanding repayment schedules
Solution:
The high interest rates and demanding repayment schedules can make the terms of credit unfavorable for a small farmer. These challenges increase their risk of default.
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