Table of contents

1. Introduction to Accounting1h 21m
2. Transaction Analysis1h 13m
3. Accrual Accounting Concepts2h 38m
4. Merchandising Operations2h 30m
5. Inventory1h 55m
6. Internal Controls and Reporting Cash1h 16m
7. Receivables and Investments3h 8m
8. Long Lived Assets5h 1m
9. Current Liabilities2h 19m
10. Time Value of Money1h 23m
- Time Value of Money Equations
  35m
- Using Time Value of Money Tables
  47m
11. Long Term Liabilities2h 45m
12. Stockholders' Equity2h 15m
13. Statement of Cash Flows2h 24m
14. Financial Statement Analysis5h 25m
15. GAAP vs IFRS56m

9. Current Liabilities

Types of Liabilities

Financial Accounting

9. Current Liabilities

Types of Liabilities

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Multiple Choice

A corporate certificate indicating that an investor has lent money to a firm is called a(n):

Bond

Stock

Retained earning

Dividend

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Verified step by step guidance

Understand the concept of a bond: A bond is a debt instrument issued by corporations or governments to raise capital. It represents a loan made by an investor to the issuer, and the issuer promises to pay back the principal along with interest over time.

Compare the term 'bond' with other options provided: Stock represents ownership in a company, retained earnings are profits kept by the company for reinvestment, and dividends are payments made to shareholders from profits.

Identify the key characteristic of the certificate described in the problem: It indicates that the investor has lent money to the firm, which aligns with the definition of a bond.

Eliminate incorrect options based on their definitions: Stock, retained earnings, and dividends do not represent a loan made by an investor to a firm.

Conclude that the correct answer is 'Bond' based on the description provided in the problem and the definitions of the terms.