Bank CD: Certificate of deposit which promises a rate of return that allows the bank use of the money for the investment period

  • Considered a cash equivalent if it has an original maturity date of 90 days or less
  • Redeemable in cash
  • Typically a penalty due for early redemption


Learn accounting with the free app

Accounting Flashcards

Accounting Flashcards includes a translate button for English, Chinese, and Spanish.

Learn financial accounting using beautifully illustrated flashcards, coordinated lessons, and rich audio. Whether you are an aspiring CPA or IFRS expert, use this accountancy app to reach your goals. Even an aspiring chartered accountant or those reaching for the CPA Australia can benefit. Topics of accounting standards, equation, terms, ratios, and more are covered.


Get the PDF book here



« Back to Glossary Index