________ Policy Is Formulated by the Bank of Canada; ________

question 35

Multiple Choice

________ policy is formulated by the Bank of Canada; ________ policy is formulated by the government.

• A) Monetary; fiscal
• B) Tax; spending
• C) Fiscal; monetary
• D) Executive; fiscal

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Definitions:

Amortization of Bond Discount

The gradual reduction of a bond discount over the life of the bond, transferring it from the balance sheet to interest expense on the income statement.

Semiannual Interest

Interest that is calculated and paid twice a year on investments or loans.

Straight-line Method

A method of allocating an asset's cost evenly across its useful life.

Installment Note Payable

A debt or loan that is to be returned to the lender in regular periodic payments.