Question 1

Low interest rates that have persisted since the financial crisis of 2008-09 have been a net benefit to

Accepted Answer

A)  pension funds 
B)  retirees 
C)  banks 
D)  savers 
E)  Bond investors 
A)  pension funds 
B)  retirees 
C)  banks 
D)  savers 
E)  Bond investors

Question 2

Commercial banks are insured by the

Accepted Answer

A)  Financial Deposit Insurance Association. 
B)  Federal Depositors Assurance Corporation. 
C)  Federal Deposit Insurance Corporation. 
D)  Financial Deposit Insurance Company. 
E)  Federal Demand Deposit Corporation. 
A)  Financial Deposit Insurance Association. 
B)  Federal Depositors Assurance Corporation. 
C)  Federal Deposit Insurance Corporation. 
D)  Financial Deposit Insurance Company. 
E)  Federal Demand Deposit Corporation.

Question 3

Credit unions are

Accepted Answer

A)  mutual associations. 
B)  mortgage lenders. 
C)  available to the general public. 
D)  special commercial lenders. 
E)  not providers of insured deposits. 
A)  mutual associations. 
B)  mortgage lenders. 
C)  available to the general public. 
D)  special commercial lenders. 
E)  not providers of insured deposits.

Question 4

Choose the word or phrase in [ ] which will correctly complete the statement. Select
-Low interest rates that have persisted since the financial crisis of 2008-09 have been a net benefit to [borrowers | retirees].

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 5

Choose the word or phrase in [ ] which will correctly complete the statement. Select
-A low interest rate economic environment is more likely to be accompanied by [lower unemployment | higher unemployment].

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 6

Choose the word or phrase in [ ] which will correctly complete the statement. Select
-[Money market deposit accounts | Asset management accounts] are protected by the Securities Investor Protection Corporation.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 7

Janie Long has checking and savings accounts in a federally insured financial institution.The maximum amount of her insurance coverage is

Accepted Answer

A)  $ 50,000 per account. 
B)  $250,000. 
C)  $100,000 per account. 
D)  $200,000. 
E)  $200,000 per account. 
A)  $ 50,000 per account. 
B)  $250,000. 
C)  $100,000 per account. 
D)  $200,000. 
E)  $200,000 per account.

Question 8

Choose the word or phrase in [ ] which will correctly complete the statement. Select
-[Anyone | Only those with an account at the bank] could get a check certified.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 9

Choose the word or phrase in [ ] which will correctly complete the statement. Select
-Money market deposit accounts [are | are not] insured by an agency of the federal government.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 10

Choose the word or phrase in [ ] which will correctly complete the statement. Select
-You make a promise to keep funds on deposit for a stated period of time when you open a [MMDA | CD].

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 11

One can avoid early withdrawal penalties on CDs by purchasing them through brokerage firms.

Accepted Answer

A) True 
 B)False

Question 12

Share draft accounts are commonly offered by

Accepted Answer

A)  commercial banks. 
B)  savings and loan associations. 
C)  mutual savings banks. 
D)  credit unions. 
E)  insurance companies. 
A)  commercial banks. 
B)  savings and loan associations. 
C)  mutual savings banks. 
D)  credit unions. 
E)  insurance companies.

Question 13

When doing a DDA reconciliation,interest earned on your account should be

Accepted Answer

A)  deducted from your checkbook ledger. 
B)  added to your checkbook ledger. 
C)  ignored because the bank has already recorded it. 
D)  listed as outstanding. 
E)  compared to your interest calculations. 
A)  deducted from your checkbook ledger. 
B)  added to your checkbook ledger. 
C)  ignored because the bank has already recorded it. 
D)  listed as outstanding. 
E)  compared to your interest calculations.

Question 14

Choose the word or phrase in [ ] which will correctly complete the statement. Select
-Your bank probably [will | will not] levy a transaction fee if you use a "foreign" ATM to make a withdrawal.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 15

Low interest rates that have persisted since the financial crisis of 2008-09 have been a net benefit to retirees.

Accepted Answer

A) True 
 B)False

Question 16

Choose the word or phrase in [ ] which will correctly complete the statement. Select
-EE savings bonds are also called [War Bonds | Patriot Bonds].

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 17

One could expect to earn a higher rate of interest on a certificate of deposit than on a checking account.

Accepted Answer

A) True 
 B)False

Question 18

If Suzie has $2,000 in checking,$50,000 in a money market account,and $75,000 in certificates of deposit (all individual accounts)at her local bank,her accounts would be completely insured through FDIC.

Accepted Answer

A) True 
 B)False

Question 19

The rate of return on liquid assets is relatively high compared to other types of investments.

Accepted Answer

A) True 
 B)False

Question 20

Money market deposit accounts are insured by the FDIC if purchased at an insured bank.

Accepted Answer

A) True 
 B)False

Low interest rates that have persisted since the financial crisis of 2008-09 have been a net benefit to

Commercial banks are insured by the

Credit unions are

Choose the word or phrase in [ ] which will correctly complete the statement. Select -Low interest rates that have persisted since the financial crisis of 2008-09 have been a net benefit to [borrowers | retirees].

Choose the word or phrase in [ ] which will correctly complete the statement. Select -A low interest rate economic environment is more likely to be accompanied by [lower unemployment | higher unemployment].

Choose the word or phrase in [ ] which will correctly complete the statement. Select -[Money market deposit accounts | Asset management accounts] are protected by the Securities Investor Protection Corporation.

Janie Long has checking and savings accounts in a federally insured financial institution.The maximum amount of her insurance coverage is

Choose the word or phrase in [ ] which will correctly complete the statement. Select -[Anyone | Only those with an account at the bank] could get a check certified.

Choose the word or phrase in [ ] which will correctly complete the statement. Select -Money market deposit accounts [are | are not] insured by an agency of the federal government.

Choose the word or phrase in [ ] which will correctly complete the statement. Select -You make a promise to keep funds on deposit for a stated period of time when you open a [MMDA | CD].

One can avoid early withdrawal penalties on CDs by purchasing them through brokerage firms.

Share draft accounts are commonly offered by

When doing a DDA reconciliation,interest earned on your account should be

Choose the word or phrase in [ ] which will correctly complete the statement. Select -Your bank probably [will | will not] levy a transaction fee if you use a "foreign" ATM to make a withdrawal.

Low interest rates that have persisted since the financial crisis of 2008-09 have been a net benefit to retirees.

Choose the word or phrase in [ ] which will correctly complete the statement. Select -EE savings bonds are also called [War Bonds | Patriot Bonds].

One could expect to earn a higher rate of interest on a certificate of deposit than on a checking account.

If Suzie has $2,000 in checking,$50,000 in a money market account,and $75,000 in certificates of deposit (all individual accounts)at her local bank,her accounts would be completely insured through FDIC.

The rate of return on liquid assets is relatively high compared to other types of investments.

Money market deposit accounts are insured by the FDIC if purchased at an insured bank.

Understanding the Financial Planning Process

Using Financial Statements and Budgets

Preparing Your Taxes

Making Automobile and Housing Decisions

Using Credit

Using Consumer Loans

Insuring Your Life

Insuring Your Health

Protecting Your Property

Investment Planning

Investing in Stocks and Bonds

Investing in Mutual Funds

Planning for Retirement

Preserving Your Estate

Filters

Exam 4: Managing Your Cash and Savings

Low interest rates that have persisted since the financial crisis of 2008-09 have been a net benefit to

Commercial banks are insured by the

Credit unions are

Choose the word or phrase in [ ] which will correctly complete the statement. Select -Low interest rates that have persisted since the financial crisis of 2008-09 have been a net benefit to [borrowers | retirees].

Choose the word or phrase in [ ] which will correctly complete the statement. Select -A low interest rate economic environment is more likely to be accompanied by [lower unemployment | higher unemployment].

Choose the word or phrase in [ ] which will correctly complete the statement. Select -[Money market deposit accounts | Asset management accounts] are protected by the Securities Investor Protection Corporation.

Janie Long has checking and savings accounts in a federally insured financial institution.The maximum amount of her insurance coverage is

Choose the word or phrase in [ ] which will correctly complete the statement. Select -[Anyone | Only those with an account at the bank] could get a check certified.

Choose the word or phrase in [ ] which will correctly complete the statement. Select -Money market deposit accounts [are | are not] insured by an agency of the federal government.

Choose the word or phrase in [ ] which will correctly complete the statement. Select -You make a promise to keep funds on deposit for a stated period of time when you open a [MMDA | CD].

One can avoid early withdrawal penalties on CDs by purchasing them through brokerage firms.

Share draft accounts are commonly offered by

When doing a DDA reconciliation,interest earned on your account should be

Choose the word or phrase in [ ] which will correctly complete the statement. Select -Your bank probably [will | will not] levy a transaction fee if you use a "foreign" ATM to make a withdrawal.

Low interest rates that have persisted since the financial crisis of 2008-09 have been a net benefit to retirees.

Choose the word or phrase in [ ] which will correctly complete the statement. Select -EE savings bonds are also called [War Bonds | Patriot Bonds].

One could expect to earn a higher rate of interest on a certificate of deposit than on a checking account.

If Suzie has $2,000 in checking,$50,000 in a money market account,and $75,000 in certificates of deposit (all individual accounts)at her local bank,her accounts would be completely insured through FDIC.

The rate of return on liquid assets is relatively high compared to other types of investments.

Money market deposit accounts are insured by the FDIC if purchased at an insured bank.

Understanding the Financial Planning Process

Using Financial Statements and Budgets

Preparing Your Taxes

Making Automobile and Housing Decisions

Using Credit

Using Consumer Loans

Insuring Your Life

Insuring Your Health

Protecting Your Property

Investment Planning

Investing in Stocks and Bonds

Investing in Mutual Funds

Planning for Retirement

Preserving Your Estate

Filters