Personal Finance chapter 4
Earning interest on previously earned interest is called
compounding
Kylie went to a post office to obtain a
money order
When Imogene brought a necklace to a _______, she received a loan based on its value.
pawnshop
Given the information here, what should Jason's adjusted checkbook balance be? - Blank Balance: $300 - Outstanding Checks: $129 - Deposits in Transit: $50 - ATM Fees: $26 - Interest Earned: $5 - Checkbook Balance: $242
$242
Evan had three accounts as listed below. In 2014, how much was his total insurance coverage by the FDIC?
$450,000
Brenda lost her debit card. When she realized it was gone, her account had $173 in unauthorized charges. She notified her financial institution within two days. How much is she potentially liable for?
$50
Which of the following is NOT required when writing a check?
A driver's license number
Which of the following primary provides loans for home purchases?
A mortgage company
If you want to buy U.S. savings bond, you may purchase them through
A treasury direct account
Will wants to open an account with $500 that will allow him easy access to him funds (by checks, ATMs, or debit card usage) from many locations. He also wants to earn at least a low interest rate and have federal deposit insurance. What kind of account should he open?
An interest-earning checking account
ATM stands for
Automated Teller Machine
Chloe signed the back of her check with just her signature. she used a(n)
Blank endorsement
a credit card is a type of
Loan/borrowing
Wanda bought a certificate of deposit and automatically received a free bike. She purchased a
Promotional CD
a commercial bank is the same thing as a credit union
false
a savings account is also known as a demand deposit.
false
A drawback of a regular savings account is
low rate of return
Louise got caught in a cash flow trap and desperately needed money quickly. Unfortunately, she didn't shop around and she went to a _____________. As a result, her annual percentage rate was higher than 780%!
payday loan company
which of the following will likely provide the most expensive loans?
payday loan company
Common payment choices for everyday activities include all of the following except
short-term loan