Examveda
Examveda

In financial markets, period of maturity more than five years of financial instruments is classified as

A. intermediate term

B. capital term

C. short-term

D. long-term

Answer: Option D

Solution(By Examveda Team)

In financial markets, period of maturity more than five years of financial instruments is classified as long-term. Generally, a time frame for investing in which an asset is held for at least seven to ten years. The measure of a "long term" time frame can vary depending on the asset held or the investment objective. In business accounting measures, long term can be a period of time that exceeds 12 months.

This Question Belongs to Commerce >> Financial Management

Join The Discussion

Related Questions on Financial Management

Investment is the _______________.

A. net additions made to the nation’s capital stocks

B. person’s commitment to buy a flat or house

C. employment of funds on assets to earn returns

D. employment of funds on goods and services that are used in production process