Another Name for a Consol Is a ________ Because It

question 95

Multiple Choice

Another name for a consol is a ________ because it is a bond with no maturity date. The owner receives fixed coupon payments forever.

• A)perpetuity
• B)discount bond
• C)municipality
• D)high-yield bond

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Definitions:

Total Expenses

The sum of all costs and expenses incurred by a business during a specific period of time.

Cost of Goods Sold

The immediate expenses linked to creating products sold by a business, covering both materials and workforce costs.

Net Method

An accounting method where discounts for prompt payment are assumed in the recorded costs; if the discount is not taken, the expense is recorded later.

Cash Discount

A deduction from the invoice price that a seller allows to a buyer in return for paying the bill early.