Which of the Following Is Not True About Certificates of Deposit

question 87

Multiple Choice

Which of the following is not true about certificates of deposit (CDs) ?

• A) They pay higher interest than a saving account.
• B) They are only offered in denominations of $100,000 or more.
• C) They are not as liquid as a savings account.
• D) Funds are locked in for specific periods of time.

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Definitions:

Supporting Services Expenses

Expenses incurred for services that assist in the operation of a business, such as human resources, accounting, and IT support.

Not-For-Profit Entity

An organization that operates for purposes other than making a profit, often focused on charitable, educational, cultural, or social objectives.

Donated Funds

Financial or asset contributions given to organizations or individuals without the expectation of direct return or benefit.

Statement of Functional Expenses

A detailed financial report showing how a nonprofit organization's expenses are allocated across its various functions, such as programs, administrative, and fundraising.