3
QuizMultiple Choice

Applying for a Loan

Question 3 • 2025-2026 GSP Mathematical Reasoning for Decision Making

A lender will verify and carefully consider your income before approving you for a loan because _____.

Answer
A
they need to be sure you will be able to pay the loan back
B
government restrictions require a minimum salary to be approved for a loan
C
loan applicants with higher salaries are generally more trustworthy than other applicants
D
they need to be sure you make at least the minimum payment for the loan you applied for

Explanation

A lender checks your income to assess whether you can repay the loan. Income helps the lender judge your ability to make the required payments over time, not just whether you can afford the minimum payment. So the correct choice is “they need to be sure you will be able to pay the loan back.”

AI-written and checked against the verified answer.

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