Which of the Following Is a Characteristic of a Cash-Flow

question 79

Multiple Choice

Which of the following is a characteristic of a cash-flow statement?

• A)It covers a period of time, usually one month or one year.
• B)It shows if you were able to live within your income for the period covered.
• C)The statement includes three sections: income, expenses, and surplus (or deficit).
• D)All of these.

---

Definitions:

3-Year Bond

A debt security issued by an entity that matures in three years from the date of issuance, indicating the length of time before the principal is repaid.

Forward Rate

The agreed-upon rate for a financial transaction that will occur at a future date, often used in foreign exchange and interest rate markets.

Coupon Rate

The annual interest rate paid on a bond, expressed as a percentage of the bond's face value.

Maturity Bond

A bond's maturity is the specific future date when the principal amount of the bond is to be paid back to the bondholder, along with any final interest payments.