Certificates of Deposit

question 14

Multiple Choice

Certificates of deposit

• A) Have a minimum opening balance
• B) Have a substantial penalty for early withdrawal
• C) Have a fixed maturity date
• D) All of these

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Definitions:

Indebtedness Guarantees

Commitments made by one party to assume responsibility for the debt obligation of another party if that party fails to make payment.

Noncollectibility Receivables

Accounts receivable that are considered unlikely to be collected by a business.

Gain Contingencies

Possible gains or income that a business might receive, contingent upon future events that can't be predicted with certainty.

Footnotes

Supplementary notes at the bottom of financial statements providing additional detail about data or items on the statements.