Which of the Following Is an Attribute of a Banker's

question 78

Multiple Choice

Which of the following is an attribute of a banker's acceptance?

• A) It is an unsecured note of issuer with large denominations.
• B) It has a maturity of 1 day to 3 years.
• C) Its risk and return is higher than U.S. Treasury issues.
• D) It is issued by a corporation with a high credit standing.

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Definitions:

Direct Materials

Raw materials that are directly traceable to the manufacturing of a product and are an integral part of the finished product.

Production Budget

A financial plan that outlines the expected production levels of a company based on projected sales, inventory policies, and capacity constraints.

Cash Collections

The total amount of money received from customers or clients for goods or services provided.

Sales Estimate

A projection of the revenue a company expects to generate from sales over a specific period, often used as a basis for budgeting and planning.