GFOA Exam CPFO Topic 6 Question 89 Discussion

Actual exam question for GFOA's CPFO exam

Question #: 89
Topic #: 6

[All CPFO Questions]

Which of the following is not included in long-term credit products offered by banks?

ALong-term capital lease agreements

BBonds agreements

CA line of credit

DNone of these

Show Suggested Answer

Suggested Answer: C

by Reita at May 31, 2024, 02:28 PM

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Orville

8 months ago

A line of credit? Really? Next they'll be asking if a piggy bank counts as a long-term credit product.

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Lasandra

8 months ago

None of these? That's just lazy. They couldn't come up with a better wrong answer option?

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Glen

7 months ago

Yeah, they could have at least come up with a more creative wrong answer.

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Tamra

7 months ago

I agree, it does seem lazy to have 'None of these' as an option.

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Tawna

7 months ago

D) None of these

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Ardella

8 months ago

C) A line of credit

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Andra

8 months ago

B) Bonds agreements

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Delisa

8 months ago

A) Long-term capital lease agreements

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Iluminada

9 months ago

Hmm, I'm not so sure about the capital lease agreements. Aren't those considered off-balance sheet financing? This question is tricky.

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Viki

7 months ago

I agree, a line of credit is typically considered a short-term credit product.

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Son

7 months ago

I think the answer might be C) A line of credit.

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Henriette

7 months ago

Capital lease agreements are indeed considered off-balance sheet financing.

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Edna

7 months ago

D) None of these

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Joni

7 months ago

C) A line of credit

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Charlene

8 months ago

B) Bonds agreements

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Virgie

8 months ago

Bonds agreements are not included in long-term credit products offered by banks.

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Major

8 months ago

A) Long-term capital lease agreements

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Sheridan

8 months ago

Really? I thought they were off-balance sheet financing.

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Delsie

8 months ago

Capital lease agreements are actually included in long-term credit products.

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Millie

9 months ago

Bonds agreements definitely sound like a long-term credit product to me. This is an easy one!

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Tandra

8 months ago

C) A line of credit is not included in long-term credit products offered by banks.

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Ciara

8 months ago

Bonds agreements are indeed a long-term credit product.

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Celestine

8 months ago

D) None of these

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Louisa

8 months ago

C) A line of credit

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Talia

9 months ago

B) Bonds agreements

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Leota

9 months ago

A) Long-term capital lease agreements

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Susana

9 months ago

I disagree, I believe the answer is D) None of these because all options seem to be related to long-term credit products.

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Elbert

9 months ago

A line of credit? That's a short-term financing option, not long-term. The bank must be trying to trick us with that one.

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Staci

8 months ago

Yeah, it seems like the bank is trying to confuse us with that choice.

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Martin

8 months ago

I agree, a line of credit is definitely a short-term option.

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Polly

8 months ago

Yeah, it seems like the bank is trying to confuse us with that choice.

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Giuseppe

8 months ago

I agree, a line of credit is definitely a short-term option.

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Shenika

9 months ago

Yeah, they must be trying to confuse us with that choice.

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Jamika

9 months ago

I agree, a line of credit is definitely a short-term option.

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Isaiah

9 months ago

I think the answer is C) A line of credit.

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