A time deposit that has a denomination greater than $100,000 and is generally for wealthy individuals and corporations is known as a:
A)negotiable CD.
B)bump-up CD.
C)step-up CD.
D)liquid CD.
E)None of the options is correct.

Question

Quizplus · Accepted Answer

A time deposit with a denomination greater than $100,000 and targeted towards wealthy individuals and corporations is known as a negotiable CD. This type of CD is negotiable because it can be resold in the secondary market, allowing investors the opportunity to exit the investment before the maturity date.

A Time Deposit That Has a Denomination Greater Than $100,000