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.

Question

Quizplus · Accepted Answer

An intermediate-term debt is typically a loan or debt obligation with a maturity period of 1 to 10 years. A sixty-month (5-year) car loan falls within this range and would be considered an example of an intermediate-term debt. A thirty-year mortgage, Treasury bond, and six month loan from a finance company are all either long-term or short-term debts, respectively.

Which of the Following Is an Example of an Intermediate-Term