Electrolytic Capacitors Differ from Many Other Capacitors in Construction in That

question 33

Multiple Choice

Electrolytic capacitors differ from many other capacitors in construction in that they are:

• A)polarized.
• B)larger.
• C)smaller.
• D)sensitized.

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Definitions:

Bond Premium

The amount by which the market price of a bond exceeds its principal amount or face value.

Effective Interest Rate

The actual return on an investment, taking into account the effect of compounding interest, as opposed to the nominal rate.

Interest Expense

The cost incurred by an entity for borrowing funds; this expense is reported on the income statement.

Stated Interest Rate

The nominal interest rate stated on a financial instrument, such as a loan or bond, without adjustment for compounding or market conditions.