Which of the Following Statements Is CORRECT

question 47

Multiple Choice

Which of the following statements is CORRECT?

• A) If some cash flows occur at the beginning of the periods while others occur at the ends, then we have what the textbook defines as a variable annuity.
• B) The cash flows for an ordinary (or deferred) annuity all occur at the beginning of the periods.
• C) If a series of unequal cash flows occurs at regular intervals, such as once a year, then the series is by definition an annuity.
• D) The cash flows for an annuity due must all occur at the ends of the periods.
• E) The cash flows for an annuity must all be equal, and they must occur at regular intervals, such as once a year or once a month.

---

Definitions:

Elaboration Likelihood Model

A theory in social psychology that explains different ways of processing stimuli, why and when they will lead to attitude change.

Counter-Arguments

Arguments presented to oppose or refute another argument or position, often used in debate or in the formulation of academic papers.

Persuasiveness

The ability to convince others to change their attitudes, beliefs, or actions through argumentation or appeal.

Humour In Advertising

The use of humor in marketing communications to capture attention, enhance recall, and positively influence purchase intentions.