Time deposits include
A) near-monies.
B) demand deposits.
C) NOW accounts.
D) checking accounts.
E) negotiable order of withdrawal accounts.

Question

Quizplus · Accepted Answer

Time deposits refer to bank deposits where funds are deposited for a fixed period of time, such as a certificate of deposit (CD). These deposits are considered near-monies, which means they are not as liquid as demand deposits or checking accounts, but they can be converted to cash relatively easily. NOW (negotiable order of withdrawal) accounts are a type of demand deposit that allows for unlimited transactions, so they are not considered time deposits.

Time Deposits Include