Match the terms relating to the basic terminology and concepts of providing and obtaining credit on the left with the descriptions of the terms on the right. Read each description carefully and type the letter of the description in the Answer column next to the correct term. These are not necessarily complete definitions, but there is only one possible answer for each term. Term Answer Description Seasonal dating A. The face value of the loan includes both the amount received and the calculated interest. Collection policy B. Benefits can be used to repay a loan in the case of the death of an owner or important employee. Credit standards C. A firm has certain procedures to deal with past-due accounts. Cash discounts Often, banks will require the owners of a small business to sign personally for the debt of the company. Loan guarantees This type of discount is used most often in seasonal businesses. Collateral F. Customers can pay less than the full invoice amount if they pay within a certain number of days. G. Assets are pledged to secure a loan. Key-person insurance H. Discount interest loan This is a loan in which the interest is paid at the beginning of the loan period. Compensating balances A firm has particular requirements that must be met before credit is extended to customers. Add-on interest ). A borrower is required to hold a certain amount of money in an account at the lender's institution