Which of the Following Is True of a Traditional Certificate

Multiple Choice

Which of the following is true of a traditional certificate of deposit (CD) ?

A) Traditional CDs must be kept at the issuing institution for a specified time period.
B) Traditional CDs pay no periodic interest.
C) Traditional CDs are repaid in installments by the issuing bank.
D) Traditional CDs have a floating rate of interest.
E) Traditional CDs are discounted when their market price is more than issue price.