Which of the Following Statements Most Accurately Describes the Composition

question 18

Multiple Choice

Which of the following statements most accurately describes the composition of continental crust?

• A)Continental crust is composed of rocks very similar to basalt
• B)Continental crust is made up entirely of mafic rocks
• C)Continental crust is made up entirely of felsic rocks
• D)Continental crust has a composition identical to oceanic crust
• E)Continental crust is made up of both mafic and felsic rock

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Definitions:

Transaction Motive

The need for cash to meet immediate and anticipated demands for payment, a key reason for holding cash in business.

Speculative Motive

The intention to hold cash or other assets in anticipation of future market fluctuations to gain financial advantages.

Collection Float

The time period between when a check is deposited and when the funds become available in the recipient's account, affecting the cash flow and liquidity.

Float Management

The practice of managing the time between when a check is deposited and when it clears, to optimize the use of funds.