Use the Following Two Columns of Items to Answer the Matching

question 21

Short Answer

Use the following two columns of items to answer the matching questions below:
-day trader
A)first offering of a firm's stock to the public
B)facilities that allow investors to purchase or sell existing stocks
C)investors owning this type of stock have priority over common stockholders in receiving dividends
D)market where existing securities are sold
E)individual investors who buy and sell stocks within a day
F)financial instruments that represent partial ownership of a firm
G)debt instruments issued by the government or corporations to borrow money from investors
H)professionals responsible for clients' funds

• A)first offering of a firm's stock to the public
• B)facilities that allow investors to purchase or sell existing stocks
• C)investors owning this type of stock have priority over common stockholders in receiving dividends
• D)market where existing securities are sold
• E)individual investors who buy and sell stocks within a day
• F)financial instruments that represent partial ownership of a firm
• G)debt instruments issued by the government or corporations to borrow money from investors
• H)professionals responsible for clients' funds

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Definitions:

Interest Payable

A liability account on a company's balance sheet representing the amount of interest expense that has been incurred but not yet paid as of the reporting date.

Adjusting Entry

A journal entry made at the end of an accounting period to allocate income and expenditures to the correct period.

Effective Interest Method

An accounting practice used to allocate bond premiums or discounts over the life of the bond.

Straight-Line Amortization

A method of allocating an intangible asset's cost evenly across its useful life, resulting in a consistent expense amount each period.