Wilma Has a $25,000 Certificate of Deposit (CD)at the Local

question 104

Multiple Choice

Wilma has a $25,000 certificate of deposit (CD) at the local bank.The interest on this certificate, $1,000, was credited to her account this year but she must pay an early withdrawal penalty if she cashes in the CD before next year.Which of the following is a true statement?

• A)Wilma must include the $1,000 of interest in her income this year.
• B)Wilma must include the $1,000 of interest in her income when she cashes the CD.
• C)Wilma must include the $1,000 of interest in her income this year only if the bank waives the early withdrawal penalty.
• D)Wilma must include the $1,000 of interest in her income next year if she does not pay the early withdrawal penalty.
• E)All of these choices are correct.

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Definitions:

Hippocampus

The Hippocampus is a major component of the brain, important in the consolidation of information from short-term to long-term memory and in spatial memory that enables navigation.

Synaptic Pruning

The method through which the brain removes surplus neurons and synaptic links to enhance the efficiency of neural transmissions.

Neural Connections

The links formed between neurons through which they communicate with each other in the brain.

Hormonal Activity

Biological processes influenced by hormones, which are chemical substances produced in the body that regulate and control the activity of certain cells or organs.