Task: Instance Description Understanding (ontology: Business_Finance/Financial_Industry_Business_Ontology)

Which of the following definitions best describes the instance 'day-count convention actual/360'?

A. day-count convention that uses the actual number of days in each month and 360 days in a year for calculating interest payments
B. day-count convention that uses 30 days in a month and 360 days in a year for calculating interest payments
C. day-count convention that uses 30 days in a month and 365 days in a year for calculating interest payments
D. day-count convention that uses the actual number of days in each month and actual number of days in that year for calculating interest payments

Answer: day-count convention that uses the actual number of days in each month and 360 days in a year for calculating interest payments