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

7. Receivables and Investments

Introduction to Investments in Securities

Financial Accounting

7. Receivables and Investments

Introduction to Investments in Securities

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Multiple Choice

Which of the following is an annuity that is linked to a market-related index?

Equity-indexed annuity

Fixed annuity

Certificate of deposit

Variable-rate bond

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Verified step by step guidance

Understand the concept of an annuity: An annuity is a financial product that provides a series of payments over time, often used for retirement planning.

Learn about the types of annuities: Fixed annuities provide guaranteed payments, while variable annuities depend on the performance of investment options. Equity-indexed annuities are linked to a market-related index, such as the S&P 500.

Analyze the options provided: Fixed annuity offers fixed payments, certificate of deposit is a savings product, and variable-rate bond has interest rates that fluctuate. Equity-indexed annuity is the only option tied to a market-related index.

Focus on the key characteristic of an equity-indexed annuity: It combines features of fixed and variable annuities, offering a guaranteed minimum return while allowing for potential growth based on the performance of a market index.

Conclude that the correct answer is 'Equity-indexed annuity' because it is explicitly linked to a market-related index, unlike the other options provided.