Deck 33: Banking Procedures

Question 1

When sorting currency,bills should be stacked:

A) portrait side up,in order from lowest to highest denomination
B) portrait side up,in order from highest to lowest denomination
C) portrait side down,in order from lowest to highest denomination
D) portrait side down,in order from highest to lowest denomination

Answer 1

portrait side up,in order from highest to lowest denomination

Question 2

The _____ is the amount in numbers that the check is written for.

A) numeric amount
B) written amount
C) negotiable amount
D) drawee

Answer 2

numeric amount

Question 3

The check routing symbol is commonly _____ on a personal check.

A) written as a fraction
B) written as a percentage
C) italicized and underlined
D) hyphenated

Answer 3

hyphenated

Question 4

You should not accept a check that is:

A) marked "paid in full" and pays the account in full
B) a third-party check from an authorized insurance company
C) uncorrected and includes the seven components that make a check valid
D) written for more than the amount due so the patient can have some cash in hand

Question 5

A check will be instantly returned by the bank if:

A) it was written more than 30 days ago
B) a mistake is corrected with a single line and is initialed
C) the signature is missing
D) the written amount is the same as the numeric amount

Question 6

A(n)_____ check is a check paid directly from a checking account via the Internet.

A) limited
B) cashier's
C) certified
D) electronic

Question 7

Traveler's checks are listed as ____ on a deposit slip.

A) cash
B) checks
C) electronic transfers
D) gift cards

Question 8

If a mistake is made in writing a check,it is necessary to write "_____" across the check and stub and write a new one.

A) ERROR
B) OMIT
C) VOID
D) DO NOT USE

Question 9

The process of performing banking transactions with a smartphone or personal digital assistant (PDA)is known as ____ banking.

A) mail
B) online
C) mobile
D) telephone

Question 10

The MICR numbers are numbers and symbols and contain the nine-digit ____ number.

A) routing
B) account
C) check
D) FDIC

Question 11

When preparing a deposit slip,if there are more checks than can be listed on the front of the slip,you should:

A) use the back,total the amount,and bring it forward to the correct line
B) add the amounts on a calculator and write the total without listing the checks
C) break the deposit up into a series of smaller deposits
D) ask the teller at the bank for an extra-long corporate deposit slip

Question 12

When completing a stub or register,you should:

A) use green or blue ink
B) include only dates,check numbers,and amounts
C) list checks but not deposits
D) bring forward the balance from the previous stub or entry

Question 13

What is the correct way to write the numerical amount $5.62 as a written amount?

A) Five and 62/100
B) Five sixty-two
C) Five and sixty-two
D) Five .62

Question 14

As soon as cash money is received in the office,it should be:

A) stored in an envelope on the reception desk
B) placed out of sight in a secure location
C) deposited in a savings account
D) deposited in a checking account

Question 15

A ____ check is a check presented too long after it was written to be honored by the bank.

A) stale
B) traveler's
C) postdated
D) voucher

Question 16

A _____ endorsement states,"PAY TO THE ORDER OF (name of bank where the check is to be deposited)."

A) restrictive
B) blank
C) formal
D) protective

Question 17

A check must include some form of which phrase to be negotiable?

A) security features included
B) for deposit only
C) pay to the order of
D) In God We Trust

Question 18

The use of checks became common:

A) in the 14th century
B) in the 18th century
C) after World War II
D) in the 1980s

Question 19

An overdraft is when:

A) a check is more than the amount in the bank account.
B) you open a savings account.
C) do not use a personal check.
D) earned interest is waived.

Question 20

When writing a check,the date:

A) must be written
B) must be numeric
C) can be written or numerical
D) must be preprinted on the check

Question 21

Match each term with its definition.
Money put into a bank account,increasing the balance

A)ABA number
B)agent
C)ATM
D)bank statement
E)cashier's check
F)certified check
G)check register
H)checking account
I)currency
J)deposit

Question 22

Match each term with its definition.
Itemized list of cash and checks deposited in a checking account

A)deposit record
B)deposit slip
C)electronic funds transfer system
D)endorsement
E)endorser
F)third-party check
G)limited check
H)maker
I)MICR numbers
J)money order

Question 23

If a stop payment is placed on a check,the bank will:

A) require the payee to pay a fee to cash the check
B) contact the payer for permission before transferring cash to the payee
C) refuse to honor the check
D) freeze the account of the payee

Question 24

Match each term with its definition.
Method of crediting and debiting accounts by computer without checks or deposit slips

A)deposit record
B)deposit slip
C)electronic funds transfer system
D)endorsement
E)endorser
F)third-party check
G)limited check
H)maker
I)MICR numbers
J)money order

Question 25

When depositing checks by mail,they should be endorsed by _____ endorsement only.

A) blank
B) restrictive
C) stamped
D) personal

Question 26

Match each term with its definition.
Code number found in the upper-right corner of a printed check

A)ABA number
B)agent
C)ATM
D)bank statement
E)cashier's check
F)certified check
G)check register
H)checking account
I)currency
J)deposit

Question 27

The process of verifying that the amounts on the bank statement are consistent with the amounts in the check register is known as:

A) reconciling
B) capitalizing
C) transferring
D) itemizing

Question 28

Match each term with its definition.
Banking machine operated by inserting a debit,credit,or bank card and entering a personal identification number code

A)ABA number
B)agent
C)ATM
D)bank statement
E)cashier's check
F)certified check
G)check register
H)checking account
I)currency
J)deposit

Question 29

Match each term with its definition.
Payee's signature on the back of a check

A)deposit record
B)deposit slip
C)electronic funds transfer system
D)endorsement
E)endorser
F)third-party check
G)limited check
H)maker
I)MICR numbers
J)money order

Question 30

Match each term with its definition.
Record of a deposit given to a customer at the time of the deposit

A)deposit record
B)deposit slip
C)electronic funds transfer system
D)endorsement
E)endorser
F)third-party check
G)limited check
H)maker
I)MICR numbers
J)money order

Question 31

Match each term with its definition.
Record of checking account activity sent to a customer,usually on a monthly basis

A)ABA number
B)agent
C)ATM
D)bank statement
E)cashier's check
F)certified check
G)check register
H)checking account
I)currency
J)deposit

Question 32

Match each term with its definition.
Payee on a check

A)deposit record
B)deposit slip
C)electronic funds transfer system
D)endorsement
E)endorser
F)third-party check
G)limited check
H)maker
I)MICR numbers
J)money order

Question 33

Match each term with its definition.
Money produced by the Federal Reserve in the form of paper bills and coins

A)ABA number
B)agent
C)ATM
D)bank statement
E)cashier's check
F)certified check
G)check register
H)checking account
I)currency
J)deposit

Question 34

Match each term with its definition.
Person authorized to act for another person

A)ABA number
B)agent
C)ATM
D)bank statement
E)cashier's check
F)certified check
G)check register
H)checking account
I)currency
J)deposit

Question 35

Match each term with its definition.
Type of check in which the purchaser pays the bank the full amount of the check

A)ABA number
B)agent
C)ATM
D)bank statement
E)cashier's check
F)certified check
G)check register
H)checking account
I)currency
J)deposit

Question 36

Match each term with its definition.
Guaranteed check that is always acceptable when a personal check is not

A)ABA number
B)agent
C)ATM
D)bank statement
E)cashier's check
F)certified check
G)check register
H)checking account
I)currency
J)deposit

Question 37

Match each term with its definition.
Bank account into which money may be deposited and checks may be written against

A)ABA number
B)agent
C)ATM
D)bank statement
E)cashier's check
F)certified check
G)check register
H)checking account
I)currency
J)deposit

Question 38

Deposits should be always be delivered to the bank:

A) at the same time of day
B) on the same day every week
C) on the same day at the same time every week
D) at different times and days of the week

Question 39

A bank statement obtained through an ATM usually contains the last _____ transactions made on an account.

A) 5
B) 10
C) 15
D) 20

Question 40

Match each term with its definition.
Record showing the check number,person to whom check is paid,amount of check,date,and balance

A)ABA number
B)agent
C)ATM
D)bank statement
E)cashier's check
F)certified check
G)check register
H)checking account
I)currency
J)deposit

Question 41

Match each term with its definition.
Check made out to the patient by someone unknown to you

A)deposit record
B)deposit slip
C)electronic funds transfer system
D)endorsement
E)endorser
F)third-party check
G)limited check
H)maker
I)MICR numbers
J)money order

Question 42

There are pros and cons of accepting credit and debit cards for payment in the medical practice.Match the description to either a "pro" or "con." Note: Answers may be used more than once.
​Requires the minor,but additional,step of adding a pin pad to a credit card terminal

A)​pro
B)​con

Question 43

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​Inside the border that indicates at least two security features are included on the check

A)​warning bank
B)​MP logo
C)​padlock icon
D)​security screen
E)​toner adhesion
F)​chemical reactive paper
G)​prismatic multicolored background
H)​secure document check face
I)​colored pantograph
J)​foil hologram
K)​visible or invisible fibers
L)​thermochromic heat-sensitive icon

Question 44

There are pros and cons of accepting credit and debit cards for payment in the medical practice.Match the description to either a "pro" or "con." Note: Answers may be used more than once.
​Payments generally have a faster approval time,which means faster access to revenue

A)​pro
B)​con

Question 45

There are pros and cons of accepting credit and debit cards for payment in the medical practice.Match the description to either a "pro" or "con." Note: Answers may be used more than once.
​Businesses see small processing fees for each credit card transaction

A)​pro
B)​con

Question 46

There are pros and cons of accepting credit and debit cards for payment in the medical practice.Match the description to either a "pro" or "con." Note: Answers may be used more than once.
​Easy to use and makes paying bills or making store purchases hassle free for customers

A)​pro
B)​con

Question 47

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​If the unique colored background is not present,the check is not authentic

A)​warning bank
B)​MP logo
C)​padlock icon
D)​security screen
E)​toner adhesion
F)​chemical reactive paper
G)​prismatic multicolored background
H)​secure document check face
I)​colored pantograph
J)​foil hologram
K)​visible or invisible fibers
L)​thermochromic heat-sensitive icon

Question 48

There are pros and cons of accepting credit and debit cards for payment in the medical practice.Match the description to either a "pro" or "con." Note: Answers may be used more than once.
​Because the debit process is similar to a cash transaction,the fees that a business pays on debit transaction are smaller than credit card or check fees

A)​pro
B)​con

Question 49

Match each term with its definition.
Numbers printed on the check in magnetic ink that contain the routing (ABA)number

A)deposit record
B)deposit slip
C)electronic funds transfer system
D)endorsement
E)endorser
F)third-party check
G)limited check
H)maker
I)MICR numbers
J)money order

Question 50

There are pros and cons of accepting credit and debit cards for payment in the medical practice.Match the description to either a "pro" or "con." Note: Answers may be used more than once.
​A business that accepts credit cards gives customers another payment option

A)​pro
B)​con

Question 51

​This kind of check is often used by insurance companies

A) ​limited
B) ​cryptonic
C) ​voucher
D) ​certified

Question 52

Match each term with its definition.
Payer of the check

A)deposit record
B)deposit slip
C)electronic funds transfer system
D)endorsement
E)endorser
F)third-party check
G)limited check
H)maker
I)MICR numbers
J)money order

Question 53

___________ is a digital or virtual currency that uses cryptography for security,making it difficult to counterfeit.

A) ​Internet check
B) ​Electronic check
C) ​Virtual voucher
D) ​Cryptocurrency

Question 54

Match each term with its definition.

-Negotiable instrument often used by individuals who do not have checking accounts or to meet the requirement for purchasing an item or service

A)deposit record
B)deposit slip
C)electronic funds transfer system
D)endorsement
E)endorser
F)third-party check
G)limited check
H)maker
I)MICR numbers
J)money order

Question 55

There are pros and cons of accepting credit and debit cards for payment in the medical practice.Match the description to either a "pro" or "con." Note: Answers may be used more than once.
Adds another layer of detail to your business's bookkeeping practices

A)​pro
B)​con

Question 56

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​Ensures that toner from your printer cannot be removed from the paper without damage

A)​warning bank
B)​MP logo
C)​padlock icon
D)​security screen
E)​toner adhesion
F)​chemical reactive paper
G)​prismatic multicolored background
H)​secure document check face
I)​colored pantograph
J)​foil hologram
K)​visible or invisible fibers
L)​thermochromic heat-sensitive icon

Question 57

​Which of the following is not a type of savings account?

A) personal checking
B) money market
C) custodial account
D) regular/passbook

Question 58

​Precautions must be taken when determining the banking procedures within a practice.Which of the following is an example of banking concerns?

A) ​possible loss of funds
B) ​identity of patients
C) ​potential HIPAA violations
D) ​all of the above

Question 59

​A check paid directly from a checking account through the Internet is known as a(n):

A) ​limited check
B) ​electronic check
C) ​certified check
D) cashier's check

Question 60

Match each term with its definition.
Check that will be marked void if written over a certain amount

A)deposit record
B)deposit slip
C)electronic funds transfer system
D)endorsement
E)endorser
F)third-party check
G)limited check
H)maker
I)MICR numbers
J)money order

Question 61

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
In the signature line of laser checks and in the border on manual checks repeats the words "original document"

A)​warning bank
B)​MP logo
C)​padlock icon
D)​security screen
E)​toner adhesion
F)​chemical reactive paper
G)​prismatic multicolored background
H)​secure document check face
I)​colored pantograph
J)​foil hologram
K)​visible or invisible fibers
L)​thermochromic heat-sensitive icon

Question 62

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​Accept a postal money order with only one endorsement

A)​best practice (good policy)
B)not a best practice (not a good policy)

Question 63

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​Accept a check that has no corrections made

A)​best practice (good policy)
B)not a best practice (not a good policy)

Question 64

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​Accept a third-party check

A)​best practice (good policy)
B)not a best practice (not a good policy)

Question 65

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​Accept a check that has seven components that make it valid

A)​best practice (good policy)
B)not a best practice (not a good policy)

Question 66

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​Visible fibers of various lengths and color complicate copying,and invisible fibers can be viewed from either side of the paper using black (UV)light

A)​warning bank
B)​MP logo
C)​padlock icon
D)​security screen
E)​toner adhesion
F)​chemical reactive paper
G)​prismatic multicolored background
H)​secure document check face
I)​colored pantograph
J)​foil hologram
K)​visible or invisible fibers
L)​thermochromic heat-sensitive icon

Question 67

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​In the border of the check indicating the document contains security features

A)​warning bank
B)​MP logo
C)​padlock icon
D)​security screen
E)​toner adhesion
F)​chemical reactive paper
G)​prismatic multicolored background
H)​secure document check face
I)​colored pantograph
J)​foil hologram
K)​visible or invisible fibers
L)​thermochromic heat-sensitive icon

Question 68

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​A three-dimensional graphic foil embedded in the check to provide additional protection against duplication

A)​warning bank
B)​MP logo
C)​padlock icon
D)​security screen
E)​toner adhesion
F)​chemical reactive paper
G)​prismatic multicolored background
H)​secure document check face
I)​colored pantograph
J)​foil hologram
K)​visible or invisible fibers
L)​thermochromic heat-sensitive icon

Question 69

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​Accept a postal money order with more than one endorsement

A)​best practice (good policy)
B)not a best practice (not a good policy)

Question 70

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​Includes subtle gradations that makes copying and reproduction difficult

A)​warning bank
B)​MP logo
C)​padlock icon
D)​security screen
E)​toner adhesion
F)​chemical reactive paper
G)​prismatic multicolored background
H)​secure document check face
I)​colored pantograph
J)​foil hologram
K)​visible or invisible fibers
L)​thermochromic heat-sensitive icon

Question 71

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​A uniquely treated paper that will show visible signs of chemical tampering

A)​warning bank
B)​MP logo
C)​padlock icon
D)​security screen
E)​toner adhesion
F)​chemical reactive paper
G)​prismatic multicolored background
H)​secure document check face
I)​colored pantograph
J)​foil hologram
K)​visible or invisible fibers
L)​thermochromic heat-sensitive icon

Question 72

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
Accept a check marked "paid in full" unless it does pay the full balance

A)​best practice (good policy)
B)not a best practice (not a good policy)

Question 73

​All checks received in the office,whether in person or through the mail,should be protected by endorsement:

A) ​with a date and time stamp
B) ​by making a photocopy for audit purposes
C) ​immediately at the time received
D) ​all of the above

Question 74

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​Printed on the back of each check that reads "original document" with a list of the security features and will not photocopy clearly

A)​warning bank
B)​MP logo
C)​padlock icon
D)​security screen
E)​toner adhesion
F)​chemical reactive paper
G)​prismatic multicolored background
H)​secure document check face
I)​colored pantograph
J)​foil hologram
K)​visible or invisible fibers
L)​thermochromic heat-sensitive icon

Question 75

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​A face that makes replication difficult

A)​warning bank
B)​MP logo
C)​padlock icon
D)​security screen
E)​toner adhesion
F)​chemical reactive paper
G)​prismatic multicolored background
H)​secure document check face
I)​colored pantograph
J)​foil hologram
K)​visible or invisible fibers
L)​thermochromic heat-sensitive icon

Question 76

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​Accept a check written for more than the amount due so patient can receive cash back

A)​best practice (good policy)
B)not a best practice (not a good policy)

Question 77

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​The ink cannot be applied by conventional photocopiers,ensuring authenticity of the document

A)​warning bank
B)​MP logo
C)​padlock icon
D)​security screen
E)​toner adhesion
F)​chemical reactive paper
G)​prismatic multicolored background
H)​secure document check face
I)​colored pantograph
J)​foil hologram
K)​visible or invisible fibers
L)​thermochromic heat-sensitive icon

Question 78

​There are precautions to be observed when accepting checks.Match whether the following statements are considered a best practice (good policy)or not a best practice (not good policy).Note: Answers may be used more than once.
​Stamp it with the deposit endorsement

A)​best practice (good policy)
B)not a best practice (not a good policy)