Chloe Signed the Back of Her Check with Nothing Else

question 126

Multiple Choice

Chloe signed the back of her check with nothing else by it.She used a(n)

• A) Blank endorsement.
• B) Restrictive endorsement.
• C) Deposit ticket.
• D) Special endorsement.
• E) Individual account.

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Definitions:

Diluted Earnings

A metric that shows a company's earnings per share if all convertible securities were converted into common stock, often indicating a worst-case scenario for earnings per share.

Capital Structures

The mix of a company's long-term debt, specific short-term debt, common equity, and preferred equity, which is used to finance its overall operations and growth.

Materiality

A concept in accounting and auditing that pertains to the significance of transactions, balances, and errors, which might influence the decision-making of users of financial statements.

Convertible Bonds

A type of bond that can be converted into a predetermined amount of the company's equity at certain times during its life, usually at the discretion of the bondholder.