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If a woman entrepreneur does not understand loan instalments, what risk can occur?

Answer and explanation

Correct answer: Risk of increasing debt burden and repayment default

If a woman entrepreneur does not understand the instalment amount, interest rate, due date, or late-payment charges, she may fail to repay on time. This can increase outstanding debt and lead to repayment default. Profit does not automatically double, and a loan is not automatically waived. Exam tip: In loan-related questions, connect instalments and interest with timely repayment.

Related tags

Women EntrepreneurshipFinancial LiteracyLoan RepaymentCredit ManagementRepayment DefaultWomen And Work: Issues And ConcernsWomen And Work Issues And ConcernsWorkLivelihood And Career

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