1) Which of the following is an example of an intermediate-term debt?
A) A thirty-year mortgage.
B) A sixty-month car loan.
C) A six month loan from a finance company.
D) A Treasury bond.
2) If the maturity of a debt instrument is less than one year, the debt is called ________.
A) short-term
B) intermediate-term
C) long-term
D) prima-term
3) Long-term debt has a maturity that is ________.
A) between one and ten years.
B) less than a year.
C) between five and ten years.
D) ten years or longer.
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