Question 1

Funds on deposit in a savings account are considered demand deposits.

Accepted Answer

A) True 
 B)False

Question 2

An automatic funds transfer agreement is usually the most expensive way to avoid bad check fees.

Accepted Answer

A) True 
 B)False

Question 3

Which of the following ideas will not help you discuss money with more confidence and candor?

Accepted Answer

A)  ​Get to know yourself. 
B)  ​Learn to manage financial disagreements. 
C)  ​Be honest and talk regularly. 
D)  ​Make it clear that your needs and wants are more important than your spouse's. 
A)  ​Get to know yourself. 
B)  ​Learn to manage financial disagreements. 
C)  ​Be honest and talk regularly. 
D)  ​Make it clear that your needs and wants are more important than your spouse's.

Question 4

Electronic benefits transfer (EBT)cards are used by the government to pay military personnel and provide Social Security and other government benefits.

Accepted Answer

A) True 
 B)False

Question 5

Common financial services offered by depository institutions include

Accepted Answer

A)  ​checking,lending,and savings. 
B)  ​checking,real estate sales,and savings. 
C)  ​credit cards,stock brokerage,and tax preparation. 
D)  ​legal advice,savings,and life insurance. 
A)  ​checking,lending,and savings. 
B)  ​checking,real estate sales,and savings. 
C)  ​credit cards,stock brokerage,and tax preparation. 
D)  ​legal advice,savings,and life insurance.

Question 6

Deposits in credit unions with federal charters are insured through the National Credit Union Share Insurance Fund (NCUSIF).

Accepted Answer

A) True 
 B)False

Question 7

The interest rate in force when a CD is purchased typically remains fixed for the entire term of the deposit.

Accepted Answer

A) True 
 B)False

Question 8

Courtesy overdraft/bounce protection can be very helpful if the institution will honor your debit card even if you have insufficient funds.

Accepted Answer

A) True 
 B)False

Question 9

Because certificates of deposit require that the deposited funds remain on deposit for a specified period of time they are subject to

Accepted Answer

A)  ​interest rate risk. 
B)  ​fixed withdrawal risk. 
C)  ​market risk. 
D)  ​systemic risk. 
A)  ​interest rate risk. 
B)  ​fixed withdrawal risk. 
C)  ​market risk. 
D)  ​systemic risk.

Question 10

If your checking account balance drops to less than perhaps $50 at any point during a month you would likely be better off with a minimum deposit account in order to avoid fees.

Accepted Answer

A) True 
 B)False

Question 11

NOW accounts get their name because they are considered demand deposits.

Accepted Answer

A) True 
 B)False

Question 12

A check drawn on a financial institution,backed by the financial institution's finances,and made out to a specific payee is called a

Accepted Answer

A)  ​certified check. 
B)  ​money order. 
C)  ​cashier's check. 
D)  ​traveler's check. 
A)  ​certified check. 
B)  ​money order. 
C)  ​cashier's check. 
D)  ​traveler's check.

Question 13

According to financial advisers,a person with monthly living expenses of $2,500 should maintain readily accessible savings of at least

Accepted Answer

A)  ​$2,500. 
B)  ​$5,000. 
C)  ​$7,500. 
D)  ​$10,000. 
A)  ​$2,500. 
B)  ​$5,000. 
C)  ​$7,500. 
D)  ​$10,000.

Question 14

In monetary asset management,safety means the speed and ease with which an asset can be converted to cash.

Accepted Answer

A) True 
 B)False

Question 15

Which of the following is not a technique for reducing the risk whenever you conduct banking transactions on-line?

Accepted Answer

A)  ​Avoid using someone else's computer to manage your account. 
B)  ​Regularly change your password and keep it to yourself. 
C)  ​When finished,always hit the log off button at the top of the page instead of just closing the browser window. 
D)  ​Leaving the browser window open when finished making transactions. 
A)  ​Avoid using someone else's computer to manage your account. 
B)  ​Regularly change your password and keep it to yourself. 
C)  ​When finished,always hit the log off button at the top of the page instead of just closing the browser window. 
D)  ​Leaving the browser window open when finished making transactions.

Question 16

Costs for a share draft account are often higher than for those for a checking account at a bank or savings bank.

Accepted Answer

A) True 
 B)False

Question 17

Most homeowner's and renter's insurance policies cover your liability for theft of debit cards but not credit cards.

Accepted Answer

A) True 
 B)False

Question 18

In general,the shorter the maturity time on a certificate of deposit,the higher the rate of interest that will be paid.

Accepted Answer

A) True 
 B)False

Question 19

Your first line of defense against unauthorized use of your banking accounts is prompt examination of your periodic statement provided by your banking institution.

Accepted Answer

A) True 
 B)False

Question 20

Which of these is a reason many people say they cannot save?

Accepted Answer

A)  ​Their belief that spending is better when inflation is low 
B)  ​Not having a credit card precludes them from purchasing essentials 
C)  ​The high annual percentage yields (APYs)for savings accounts 
D)  ​Their belief that they have no money left over at the end of the month 
A)  ​Their belief that spending is better when inflation is low 
B)  ​Not having a credit card precludes them from purchasing essentials 
C)  ​The high annual percentage yields (APYs)for savings accounts 
D)  ​Their belief that they have no money left over at the end of the month

Funds on deposit in a savings account are considered demand deposits.

An automatic funds transfer agreement is usually the most expensive way to avoid bad check fees.

Which of the following ideas will not help you discuss money with more confidence and candor?

Electronic benefits transfer (EBT)cards are used by the government to pay military personnel and provide Social Security and other government benefits.

Common financial services offered by depository institutions include

Deposits in credit unions with federal charters are insured through the National Credit Union Share Insurance Fund (NCUSIF).

The interest rate in force when a CD is purchased typically remains fixed for the entire term of the deposit.

Courtesy overdraft/bounce protection can be very helpful if the institution will honor your debit card even if you have insufficient funds.

Because certificates of deposit require that the deposited funds remain on deposit for a specified period of time they are subject to

If your checking account balance drops to less than perhaps $50 at any point during a month you would likely be better off with a minimum deposit account in order to avoid fees.

NOW accounts get their name because they are considered demand deposits.

A check drawn on a financial institution,backed by the financial institution's finances,and made out to a specific payee is called a

According to financial advisers,a person with monthly living expenses of $2,500 should maintain readily accessible savings of at least

In monetary asset management,safety means the speed and ease with which an asset can be converted to cash.

Which of the following is not a technique for reducing the risk whenever you conduct banking transactions on-line?

Costs for a share draft account are often higher than for those for a checking account at a bank or savings bank.

Most homeowner's and renter's insurance policies cover your liability for theft of debit cards but not credit cards.

In general,the shorter the maturity time on a certificate of deposit,the higher the rate of interest that will be paid.

Your first line of defense against unauthorized use of your banking accounts is prompt examination of your periodic statement provided by your banking institution.

Which of these is a reason many people say they cannot save?

Understanding Personal Finance

Career Planning

Financial Statements,tools,and Budgets

Managing Income Taxes

Building and Maintaining Good Credit

Credit Cards and Consumer Loans

Vehicles and Other Major Purchases

Obtaining Affordable Housing

Managing Property and Liability Risk

Managing Health Expenses

Life Insurance Planning

Investment Fundamentals

Investing in Stocks and Bonds

Investing Through Mutual Funds

Real Estate and High-Risk Investments

Retirement Planning

Filters

Exam 5: Managing Checking and Savings Accounts

Funds on deposit in a savings account are considered demand deposits.

An automatic funds transfer agreement is usually the most expensive way to avoid bad check fees.

Which of the following ideas will not help you discuss money with more confidence and candor?

Electronic benefits transfer (EBT)cards are used by the government to pay military personnel and provide Social Security and other government benefits.

Common financial services offered by depository institutions include

Deposits in credit unions with federal charters are insured through the National Credit Union Share Insurance Fund (NCUSIF).

The interest rate in force when a CD is purchased typically remains fixed for the entire term of the deposit.

Courtesy overdraft/bounce protection can be very helpful if the institution will honor your debit card even if you have insufficient funds.

Because certificates of deposit require that the deposited funds remain on deposit for a specified period of time they are subject to

If your checking account balance drops to less than perhaps $50 at any point during a month you would likely be better off with a minimum deposit account in order to avoid fees.

NOW accounts get their name because they are considered demand deposits.

A check drawn on a financial institution,backed by the financial institution's finances,and made out to a specific payee is called a

According to financial advisers,a person with monthly living expenses of $2,500 should maintain readily accessible savings of at least

In monetary asset management,safety means the speed and ease with which an asset can be converted to cash.

Which of the following is not a technique for reducing the risk whenever you conduct banking transactions on-line?

Costs for a share draft account are often higher than for those for a checking account at a bank or savings bank.

Most homeowner's and renter's insurance policies cover your liability for theft of debit cards but not credit cards.

In general,the shorter the maturity time on a certificate of deposit,the higher the rate of interest that will be paid.

Your first line of defense against unauthorized use of your banking accounts is prompt examination of your periodic statement provided by your banking institution.

Which of these is a reason many people say they cannot save?

Understanding Personal Finance

Career Planning

Financial Statements,tools,and Budgets

Managing Income Taxes

Building and Maintaining Good Credit

Credit Cards and Consumer Loans

Vehicles and Other Major Purchases

Obtaining Affordable Housing

Managing Property and Liability Risk

Managing Health Expenses

Life Insurance Planning

Investment Fundamentals

Investing in Stocks and Bonds

Investing Through Mutual Funds

Real Estate and High-Risk Investments

Retirement Planning

Filters