Question 16 What is the CORRECT meaning/use of a time line? A time line is used to show the timing of the cash flows what is helpful prior to conducting actual calculations, A timeline cannot be constructed if some of the cash flows occur annually but others occur more often that once a year. A time line cannot be constructed it all cash flows occur once a year. A time line can be constructed for ordinary annuities but cannot be constructed for annuity due where the payments occur at the beginning of the periods A timeline cannot be constructed for uneven stream of cash flows