The underlying basis of the debtor-creditor relationship is A. money
B. the economy
C. trust
D. the law

Your answer is, Money

The debtor-creditor relationship is a form of contractual relationship where the creditor agrees to advance money to the debtor and in return the debtor agrees to repay the loan amount plus interest and other expenses agreed between the parties.

When a party borrows money to purchase property or services and another loans the money for that purchase, a debtor-creditor relationship is established between the parties engaged in the transaction. The party that loans the money is called the creditor or lender. The party borrowing the money is called the debtor or borrower. When a purchase is made without the exchange of cash between the purchaser and the seller of the goods (e.g., through the use of a credit card) the transaction is said to be done on credit. Today, most business transactions are made on credit. The U.S. economy more and more depends on credit.

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