A loan supported by an agreement to transfer ownership of assets if the loan is not repaid is called a:
A)Private placement of debt
B)Publicly traded debt
C)Secured debt
D)Capital lease

Question

Quizplus · Accepted Answer

A secured debt is a loan that is backed by collateral, which could be in the form of assets such as property, equipment or even intellectual property. In the event of non-repayment, the lender has the right to take possession of the assets to recover the loan amount.

A Loan Supported by an Agreement to Transfer Ownership of Assets