What Documentation Issued by a Bank Decreases the Balance in a Company's

question 105

Multiple Choice

What documentation issued by a bank decreases the balance in a company's checking account balance at the bank?

• A) a credit memos
• B) credit entries
• C) a debit memo
• D) NSF checks

---

Definitions:

Coupon Rate

The interest rate that a bond issuer will pay to the bondholders; it's set as a fixed percentage of the bond's par value.

Yield

The income return on an investment, such as the interest or dividends received from holding a particular security.

Price

The amount of money required to purchase a good, service, or asset.

Coupon

Represents the interest payment that a bond issuer owes to the bondholders, typically expressed as an annual percentage of the bond's face value.