What is the acknowledgment by a bank of a receipt of money with an agreement of repayment called?

The terminology related to banking and finance often defines specific instruments used for various transactions. The correct choice, which refers to the acknowledgment by a bank of a receipt of money with an agreement of repayment, is a certificate of deposit.

A certificate of deposit (CD) is a financial product offered by banks and credit unions that allows individuals to deposit money for a fixed term at a specified interest rate. When you invest in a CD, the bank acknowledges the deposit, and in return, it agrees to pay back that amount with interest at the end of the term. This creates a formal agreement for repayment, differentiating it from other financial instruments.

The other options serve different purposes. A bond represents a loan made by an investor to a borrower (typically corporate or governmental) and is not a direct acknowledgment of receipt of money by a bank. A loan agreement typically outlines the terms and conditions of a loan made from a lender to a borrower, not a deposit. A deposit slip is simply a document used to provide information to a bank when depositing cash or checks and does not, by itself, constitute an acknowledgment of a financial agreement regarding repayment. Thus, the certificate of deposit accurately encompasses the definition of an acknowledgment by a bank of a receipt of money with an