Answer:
Debt is something borrowed by someone from another person or corporation, usually in the form of money. Debt allows corporations and individuals to buy things they wouldn´t be able to afford without getting a loan. A debt establishes a certain amount of money to be borrowed, a specific time for the debt to be paid back, and usually an interest rate to be paid as well.
Explanation:
The characteristics of debt are:
1. lenders and creditors don´t have ownership rights
2. lenders and creditors can force actions or restrict activities under some circumstances
3. the debt must be established by a negotiated legal document
4. missing payments can place the company or person in default and legal action can be taken.
