The Rate of Return on a Savings Account Is Also

question 38

Multiple Choice

The rate of return on a savings account is also referred to as:

• A)liquidity.
• B)compounding.
• C)yield.
• D)opportunity cost.
• E)asset turnover.

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Definitions:

Interest Income

Income earned from the lending of money or from investments in securities that pay interest, such as bonds.

Time Extension

Granting additional time beyond the original deadline to complete a task or fulfill a contract.

Accounts Receivable

Funds that customers owe to a business for products or services already provided but not yet compensated for.

Notes Receivable

Financial assets representing written promises for future receipt of cash.