When Liquidating a Traditional Certificate of Deposit (CD) Prior to Maturity

question 118

Multiple Choice

When liquidating a traditional certificate of deposit (CD) prior to maturity, the owner:

• A)must repay the interest due on the CD.
• B)must return it to the issuing institution.
• C)must refund the difference in the face value and market value of the CD to the issuing institution.
• D)must claim the interest earned by the bank by investing the CD amount.
• E)must deposit the amount equivalent to the CD amount in a savings account with the same bank.

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Definitions:

Prejudice

Preconceived opinion or bias against an individual or group without sufficient knowledge, thought, or reason.

Negative Stereotype

An oversimplified and widely held fixed idea or image of a particular type of person or thing, which is often negative and prejudicial.

Dislike

A feeling of distaste or hostility towards someone or something.

Social and Cultural Psychology

A branch of psychology that examines how people's thoughts, feelings, and behaviors are influenced by the actual, imagined, or implied presence of others, as well as cultural contexts.