CH 4 QUIZ ACCTG 45

Logan paid a bill with a special form. He received this form at his financial institution and had to pay the amount of the check plus a fee. He used a:

Cashier's check.

When you select a financial services provider, you may find all of the following to be major factors except:

Company logo.

Brandon lost his debit card. When he realized it was gone, his account had $238 in unauthorized charges. Since he was embarrassed about his loss, he didn't contact his financial institution for 70 days. What is the most that he is liable for?

$238

Opal earned 6 percent in her savings account. If she is in the 25 percent tax bracket, what is her after-tax savings rate of return?

4.5%

What is the APY for a one-year $4,000 certificate of deposit with $280 interest?

7%

When you select a financial services provider, you should ask all of the following questions except:

All of these questions should be asked.

Which of the following refers to the opportunity to withdraw your money on short notice without incurring a loss in value?

Liquidity

Earnings on savings can be measured by the:

Rate of return.

A drawback of a regular savings account is the:

Relatively low rate of return.

If Jack was in a 25% tax bracket and received a $1,000 tax deduction, by how much would his taxes be reduced

Stop-payment order.