This quiz works best with JavaScript enabled. Home > Finance > Banking > Banking And Financial Institutions > Banking And Financial Institutions – Quiz 9 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Banking And Financial Institutions Quiz 9 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Apps that many depository institutions have developed that allow online banking access from devices such as smartphones, tablets and other mobile devices A) Online banking. B) Savings banking. C) App store. D) Mobile banking. Show Answer Correct Answer: D) Mobile banking. 2. An automated service called ....., payments such as your paycheck or a tax refund can be electronically transferred into the account you chose. A) Automatic transfer. B) Direct deposit. C) Cancelled check. D) Automatic deposit. Show Answer Correct Answer: B) Direct deposit. 3. Why do some people invest in hedge funds? A) Because they want a fund that doesn't diversify. B) Because they want to invest a small amount of money. C) Because they want a fund with less risk. D) Because they might may a huge profit. Show Answer Correct Answer: D) Because they might may a huge profit. 4. A bank that provides financial services to businesses is a: A) Industrial Bank. B) Commercial Bank. C) Business Bank. D) Credit Union. Show Answer Correct Answer: B) Commercial Bank. 5. What are profits that are earned from the sale of an asset like a stock called? A) Income profits. B) Capital profits. C) Small gains. D) Capital gains. Show Answer Correct Answer: D) Capital gains. 6. Which is NOT an example of a Financial Institution for consumers? A) Insurance Companies. B) The Federal Reserve. C) Banks. D) Credit Unions. Show Answer Correct Answer: B) The Federal Reserve. 7. What is a Certificate of Deposit (CD)? A) An interest-earning deposit that requires the funds to remain deposited for a fixed term. Withdrawal of the funds before the term expires results in a financial penalty. B) An interest-earning account that you can use to transfer money to checking accounts. C) An account where you can have your paychecks directly deposited. D) None of above. Show Answer Correct Answer: A) An interest-earning deposit that requires the funds to remain deposited for a fixed term. Withdrawal of the funds before the term expires results in a financial penalty. 8. If a person makes a deposit of $ 10, 000 or more into a bank account, the bank must notify the ..... A) FBI. B) U.S. Mint. C) U.S. Treasury Department. D) Federal Reserve. Show Answer Correct Answer: C) U.S. Treasury Department. 9. Almost ..... percent of U.S. banks are FDIC members. A) 75. B) 99. C) 90. D) 50. Show Answer Correct Answer: B) 99. 10. An example of a withdraw is: A) In Person. B) At an ATM. C) Writing a Check. D) All the Above. Show Answer Correct Answer: D) All the Above. 11. What is one type of deduction that employers are required to take from an employee'spaycheck? A) Discretionary tax. B) Sales tax. C) Estate tax. D) Social security. Show Answer Correct Answer: D) Social security. 12. Why is it important to keep an accurate/balanced transaction register? A) So you know exactly how much money you have. B) Its not really important if you use online banking. C) So you can have proof of payment on your bills. D) So you can have more money. Show Answer Correct Answer: A) So you know exactly how much money you have. 13. Which type of bond might have been used to fund the construction of your school? A) Municipal bond. B) Corporate bond. C) Junk bond. D) Treasury bond. Show Answer Correct Answer: A) Municipal bond. 14. What is a family most likely to do if they want to purchase a home? A) Open a checking account. B) Use a credit card. C) Purchase a certificate of deposit. D) Get a mortgage. Show Answer Correct Answer: D) Get a mortgage. 15. If you write a check on a bank to purchase a used Honda Civic, you are using money as: A) A medium of exchange. B) A store of value. C) A unit of account. D) An economic investment. Show Answer Correct Answer: A) A medium of exchange. 16. Some checking accounts may require an individual do which of the following? A) Provide proof of income. B) Make an opening deposit. C) Apply for a personal loan. D) Pay a fine. Show Answer Correct Answer: B) Make an opening deposit. 17. Typically a not-for-profit institution A) Commercial banks. B) Capital investments. C) CD's & DDA's. D) Credit Unions. Show Answer Correct Answer: D) Credit Unions. 18. The actions, words, behavior, or tacit approval of the Prophet Muhammad SAW is considered to be the A) Ijma'. B) Sunnah. C) Quran. D) Qiyas. Show Answer Correct Answer: B) Sunnah. 19. Insurance is the way a person or business is protected from: A) Losing interest. B) Losing money. C) Losing investments. D) Losing value. Show Answer Correct Answer: B) Losing money. 20. When writing a check, it is a good idea to use A) Erasable pen. B) Red pen. C) Pencil. D) Blue or black ink pen. Show Answer Correct Answer: D) Blue or black ink pen. 21. Which of the following bank(s) do(es) provide loan services to their shareholders only? A) Foreign banks. B) Private bank. C) Co-operative banks. D) Industrial Development Bank. E) Commercial bank. Show Answer Correct Answer: C) Co-operative banks. 22. Debt security that pays interest over a term of ten to thirty years. A) Treasury note. B) Treasury bill. C) Government bond. D) Security. Show Answer Correct Answer: C) Government bond. 23. What kinds of money are included in M1? A) Money market funds. B) Currency. C) Savings deposits. D) Small-time deposits. Show Answer Correct Answer: B) Currency. 24. If float averaged $ 774 million per day in 2000, and the average in 1995 was 50 percent higher, what did float average per day in 1995? A) 11.61 Million. B) 116.1 Million. C) 116100. D) 1.161 Billion. Show Answer Correct Answer: D) 1.161 Billion. 25. What service allows you to make purchases with insufficient funds but charges you a hefty fee for each purchase? A) Debt forgiveness. B) Checking extension. C) Investment servicing. D) Overdraft protection. Show Answer Correct Answer: D) Overdraft protection. 26. Purchases made with your debit card are usually deducted from your account ..... A) Within 24 hours. B) Immediately. C) At midnight. D) Within 5 business days. Show Answer Correct Answer: B) Immediately. 27. When money is saved and used at a later date. A) Payment. B) Medium of exchange. C) Store of value. D) Divisible. Show Answer Correct Answer: C) Store of value. 28. A Debit is ....., while a Credit is ..... A) -, +. B) Credit, debit. C) +, -. D) Debit, credit. Show Answer Correct Answer: C) +, -. 29. Those advances which can be recovered on time are classified as ..... A) Standard Assets. B) Sub-standard Assets. C) Doubtful Assets. D) Loss Assets. Show Answer Correct Answer: A) Standard Assets. 30. ..... are/is savings that are put to work to earn more money. A) Investments. B) EFT. C) Mortgages. D) Interest. Show Answer Correct Answer: A) Investments. ← PreviousNext →Related QuizzesBanking QuizzesFinance QuizzesBanking And Financial Institutions Quiz 1Banking And Financial Institutions Quiz 2Banking And Financial Institutions Quiz 3Banking And Financial Institutions Quiz 4Banking And Financial Institutions Quiz 5Banking And Financial Institutions Quiz 6Banking And Financial Institutions Quiz 7Banking And Financial Institutions Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books