Which of the Following Statements Is CORRECT

question 90

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 not useful for visualizing complex problems prior to doing actual calculations.
• C) Time lines cannot be constructed to deal with situations where some of the cash flows occur annually but others occur quarterly.
• D) Time lines can only be constructed for annuities where the payments occur at the end of the periods, i.e., for ordinary annuities.
• E) Time lines can be constructed where some of the payments constitute an annuity but others are unequal and thus are not part of the annuity.

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Definitions:

DSM-5

The Diagnostic and Statistical Manual of Mental Disorders, Fifth Edition, a handbook used by healthcare professionals as a guide to diagnose mental disorders.

Psychological Disorders

Conditions involving aberrant thinking, emotion, or behavior, distressing to the individual, and often impair day-to-day functioning; also known as mental disorders.

Classify

The act of organizing or sorting things into categories based on shared characteristics or criteria.

DSM-5

The Diagnostic and Statistical Manual of Mental Disorders, Fifth Edition, a comprehensive classification system for psychiatric disorders.