Certificates of Deposit (CDs) with Shorter Maturity Dates Tend to Pay

question 83

True/False

Certificates of deposit (CDs) with shorter maturity dates tend to pay higher interest rates than those with longer maturity dates.

---

Definitions:

Net Income

The total earnings of a company after subtracting all expenses, taxes, and costs from the total revenue.

Common Stock

Represents equity ownership in a corporation, with holders possibly entitled to vote on corporate policy and receive dividends.

Dividends

Payments made by a corporation to its shareholder members, distributed from the company's profits.

Expenses

Costs incurred in the operation of a business which may include costs such as rent, utilities, payroll, and materials.