Negotiable Certificates of Deposit Differ from Demand Deposits in That

question 52

Multiple Choice

Negotiable certificates of deposit differ from demand deposits in that they

• A)are not subject to early withdrawal penalties.
• B)may be bought and sold in the secondary market.
• C)generally have lower interest rates.
• D)are not subject to state and local income taxes.

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Definitions:

Deposits Load

Material carried by water, wind, or ice and deposited in a new location, contributing to the formation of sedimentary layers and landforms.

Sediments

Particles of rock, mineral, or organic material deposited by water, wind, or ice, often forming layers on Earth's surface.

Drainage Divide

The boundary between adjacent drainage basins.

Drainage Basin

The area of land drained by a river and its tributaries, also known as a watershed or catchment area.