Which of the Following Is True of EFT

question 67

Multiple Choice

Which of the following is true of EFT?

• A) It cost more than receiving cash payments through the mail.
• B) It can process certain cash transactions at less cost than by using the mail.
• C) It is easy to document purchase and sale transactions.
• D) It means Effective Funds Transfer.

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Definitions:

Base Period

A specific time period against which conditions in other time periods are compared, often used in index numbers or to measure economic growth.

Estimated Period

A time frame within which certain financial projections or the useful life of an asset is expected to occur.

Vertical Analysis

A financial method that expresses each item in a financial statement as a percentage of a base figure from the same statement, typically used for income statements and balance sheets.

Liquidity

The ability of an asset to be quickly converted into cash without significant loss of value.