Exam 4: Managing Your Cash and Savings

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -Your bank does not levy a service charge on your checking account as long as a $1,000 minimum balance is maintained.Your bank [can | cannot] advertise this as free checking.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -[Anyone | Only those with an account at the bank] can purchase cashiers' checks.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -[I savings bonds | Treasury bills] are sold at face value.

Factors typically influencing the choice of where to maintain a checking account are

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

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -Joe and Mary have a tenants in common savings account.When Joe dies,his portion of the account [will | will not] automatically go to Mary.

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

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -Dottie and Jasper have a joint checking account with rights of survivorship.If Jasper dies,his portion of the account [will | will not] automatically go to Dottie.

If you write a check for an amount greater than your account balance,the result will be

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -Series EE savings bonds may be redeemed [any time after the first 12 months | only at the maturity date].

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -The most common type of joint checking account would require the [signature of either party | signatures of both parties] on all checks.

A certified check is written on the bank's account rather than on a customer's account.

Although there are no legal minimum balances for a NOW account,many institutions impose their own requirement,often between $500 and $1,000 before they pay any interest.

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

You have $450 in your checking account when your EFTS card and PIN are stolen.You could lose up to ____ if you report the lost EFTS card within 8 business days.