PF Ch 6 Review

Front

___ involves an employer or financial institution placing your paycheck into a bank.

Back

Direct deposit

Front

Interest drawn on the sum of the original principal PLUS interest is called ___ interest.

Back

Compound

Front

Money that is paid for the use of money is called ___.

Back

Interest

Front

The capability of financial resources being readily converted to cash is called ___.

Back

liquidity

Front

The day on which a certificate must be renewed or cashed in is called the ___.

Back

maturity date

Front

Which of the following items is the MOST liquid? automobile, home, regular savings account, CD

Back

regular savings account

Front

A type of savings plan whereby you set aside money at a financial institution for a set period is a

Back

CD

Front

Which of the following do banks usually offer? drive-up windows, numerous locations, ATMs

Back

All of these

Front

The amount of money that you deposit into the bank is known as ___.

Back

principal

Front

When you deposit money in a savings account, the financial institution pays you dividends for the use of the money.

Back

False