BANKING AND FINANCE (145) EXAM
QUESTIONS WITH 100% VERIFIED
ANSWERS
c - ANSWER Writing the words "For Deposit Only" on the back of a check
before your signature constitutes a __________
a. blank endorsement
b. special endorsement
c. restrictive endorsement
d. doing endorsement
c - ANSWER An automated teller machine may be used to _________
a. buy stock
b. reconcile an account
c. make a loan payment
d. purchase a cashier's check
a - ANSWER A check written by the bank on its own funds is a _______.
a. cashier's check
b. money order
c. certified check
d. EFT
a - ANSWER ____________ is an automatic loan made to you by a financial
institution if you write a check or make a debit charge for more money than you
have in your account.
a. Overdraft protection
b. A stop-payment order
c. A debit card payment
d. A pay back loan
c - ANSWER A(n) _______ is a report that accounts for the differences
between a bank statement and a checkbook balance.
a. annual report
,b. endorsement
c. bank reconciliation
d. bank report
a - ANSWER A computer-based system that moves money from one account
to another without writing a check or using cash is a(n) _________.
a. EFT
b. NSF
c. ATM
d. FDIC
b - ANSWER The person who writes a check is referred to as the _________.
a. payee
b. drawer
c. drawee
d. payer
d - ANSWER The value of a house, less the amount still owed on the money
borrowed to purchase it, is called the __________.
a. mortgage
b. spread
c. points
d. equity
d - ANSWER A type of debt that allows you to borrow money up to a set limit
without having to make more than the minimum payment each month is a(n)
______________.
a. installment loan
b. unsecured loan
c. secured loan
d. revolving loan
a - ANSWER The 9-digit number printed on a check that identifies the bank
that holds the checking account and the Federal Reserve District the bank is
located in is called the ____________.
a. transit/routing number
b. account number
c. MICR number
, d. NSF number
c - ANSWER Credit Unions have the ability to offer _____________ then
commercial banks.
a. higher interest rates on loans
b. Fewer financial services
c. higher interest on savings
b. lower interest on savings
b - ANSWER In a lease agreement, a tenant may have to pay the landlord a
security deposit to __________.
a. increase the value of the private property
b. guard against any financial loss
c. pay for monthly utilities
d. bsecure a particular rental
b - ANSWER Which of the following accounts is the least liquid?
a. interest bearing checking account
b. certificate of deposit
c. checking account
d. savings account
a - ANSWER The bank on which the check is written is called the
___________.
a. drawee
b. clearinghouse
c. drawer
d. payee
b - ANSWER To calculate simple interest, take _________ x rate x time.
a. down payment
b. principal
c. maturity value
d. equity
c - ANSWER A personal check that the bank guarantees is a __________.
a. cashier's check
b. money order
QUESTIONS WITH 100% VERIFIED
ANSWERS
c - ANSWER Writing the words "For Deposit Only" on the back of a check
before your signature constitutes a __________
a. blank endorsement
b. special endorsement
c. restrictive endorsement
d. doing endorsement
c - ANSWER An automated teller machine may be used to _________
a. buy stock
b. reconcile an account
c. make a loan payment
d. purchase a cashier's check
a - ANSWER A check written by the bank on its own funds is a _______.
a. cashier's check
b. money order
c. certified check
d. EFT
a - ANSWER ____________ is an automatic loan made to you by a financial
institution if you write a check or make a debit charge for more money than you
have in your account.
a. Overdraft protection
b. A stop-payment order
c. A debit card payment
d. A pay back loan
c - ANSWER A(n) _______ is a report that accounts for the differences
between a bank statement and a checkbook balance.
a. annual report
,b. endorsement
c. bank reconciliation
d. bank report
a - ANSWER A computer-based system that moves money from one account
to another without writing a check or using cash is a(n) _________.
a. EFT
b. NSF
c. ATM
d. FDIC
b - ANSWER The person who writes a check is referred to as the _________.
a. payee
b. drawer
c. drawee
d. payer
d - ANSWER The value of a house, less the amount still owed on the money
borrowed to purchase it, is called the __________.
a. mortgage
b. spread
c. points
d. equity
d - ANSWER A type of debt that allows you to borrow money up to a set limit
without having to make more than the minimum payment each month is a(n)
______________.
a. installment loan
b. unsecured loan
c. secured loan
d. revolving loan
a - ANSWER The 9-digit number printed on a check that identifies the bank
that holds the checking account and the Federal Reserve District the bank is
located in is called the ____________.
a. transit/routing number
b. account number
c. MICR number
, d. NSF number
c - ANSWER Credit Unions have the ability to offer _____________ then
commercial banks.
a. higher interest rates on loans
b. Fewer financial services
c. higher interest on savings
b. lower interest on savings
b - ANSWER In a lease agreement, a tenant may have to pay the landlord a
security deposit to __________.
a. increase the value of the private property
b. guard against any financial loss
c. pay for monthly utilities
d. bsecure a particular rental
b - ANSWER Which of the following accounts is the least liquid?
a. interest bearing checking account
b. certificate of deposit
c. checking account
d. savings account
a - ANSWER The bank on which the check is written is called the
___________.
a. drawee
b. clearinghouse
c. drawer
d. payee
b - ANSWER To calculate simple interest, take _________ x rate x time.
a. down payment
b. principal
c. maturity value
d. equity
c - ANSWER A personal check that the bank guarantees is a __________.
a. cashier's check
b. money order
