Listed Below Is a Series of Terms and Descriptions Concerning

question 97

Short Answer

Listed below is a series of terms and descriptions concerning the Statement of Cash Flows (SCF). Match each description to the appropriate term by placing its letter in the space provided.

---

Definitions:

Lump Payment

A single, large payment made at once, as opposed to smaller, periodic payments.

Compounded Semi-Annually

This is the process where interest is added to the principal sum of a loan or deposit twice a year, resulting in interest being earned on interest from that point on.

Replacement Stream

A series of cash flows intended to replace the benefits of an asset or investment over time.

Payments

Payments refer to the amounts of money transferred from one party to another as compensation for goods or services, or as fulfillment of an obligation.