Tim Gleason Has Set Up a Legal Agreement That Allows

question 40

Multiple Choice

Tim Gleason has set up a legal agreement that allows the First State Bank of Orlando to manage funds set aside for his daughter's college education.What type of financial service is Tim using?

• A)Payment service
• B)Savings service
• C)Credit service
• D)Trust service
• E)Asset management

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Definitions:

Pension Trustee

An individual or organization that holds and manages the assets of a pension fund on behalf of its beneficiaries.

Pension Plan

A retirement plan offered by an employer, providing financial benefits to employees upon retirement.

Journal Entries

Recorded transactions in the accounting records of a business, showing the financial effects of business transactions.

Settlement Rate

The agreed-upon rate used to calculate the exchange of payments between counterparties in financial transactions, such as in derivatives or loans.