Which of the Following Statements Is CORRECT

question 42

Multiple Choice

Which of the following statements is CORRECT?

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

---

Definitions:

Direct Dealing

An approach where employers and employees negotiate employment terms without the mediation of a labor union, emphasizing direct interaction and agreement.

Arbitrator

A neutral third-party individual who is chosen to resolve a dispute between parties outside of court, often used in labor disputes to decide on fair terms of agreements or contracts.

Binding Arbitration

A dispute resolution process where an impartial third party makes a decision that is legally binding on both sides involved in the dispute.

Zero-Sum Game

A situation in which one party’s gain is exactly balanced by another party's loss, ensuring that the total value in the system remains unchanged.