A Certificate of Deposit Is ___________ of the Bank

question 29

Multiple Choice

A certificate of deposit is ___________ of the bank.

• A) A note
• B) A draft
• C) A novation
• D) A check
• E) A promissory contract

---

Definitions:

Contingent Liability

A potential obligation that may be incurred depending on the outcome of a future event or set of circumstances.

Net Income

The net income of a business once all deductions including expenses, taxes, and other costs are taken from the total earnings.

Inventory

The total amount of goods and materials held by a business for the purpose of resale or production.

Net Income

The total profit or loss of a business after all expenses, including taxes and interest, have been deducted from revenue.