Which of the Following Statements Is CORRECT

question 110

Multiple Choice

Which of the following statements is CORRECT?

• A) A time line is not meaningful unless all cash flows occur annually.
• B) Time lines are useful for visualizing complex problems prior to doing actual calculations.
• C) Time lines cannot be constructed in situations where some of the cash flows occur annually but others occur quarterly.
• D) Time lines cannot be constructed for annuities where the payments occur at the beginning of the periods.
• E) Some of the cash flows shown on a time line can be in the form of annuity payments,but none can be uneven amounts.

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Definitions:

Special Benefits

Privileges or advantages provided to individuals or groups under specific conditions or circumstances.

Cognitive Dissonance

A psychological discomfort experienced when holding two or more conflicting beliefs, ideas, or values.

Festinger And Carlsmith

Festinger and Carlsmith refer to the researchers involved in a classic 1959 psychological experiment demonstrating cognitive dissonance, where individuals experienced discomfort resulting from holding conflicting beliefs.

Ethical Person

An individual who consistently displays honesty, fairness, and consideration for others in their decisions and behaviors.