CHAPTER 12: MONEY & FINANCIAL INSTITUTIONS

The exchange of one good or service for another good or service refers to?

• Barter

• Money

• Swindling

• Theft

Which of the five characteristics of money can be defined as "easily moved"?

• Portability

• Durability

• Divisibility

• Uniformity

Which of the five characteristics of money can be defined as "can be broken down"?

• Uniformity

• Durability

• Portability

• Divisibility

Which of the following is not a characteristic of money?

• Stability

• Invisibility

• Hard to counterfeit

• Divisibility

Which of the five characteristics of money can be defined as "need to last"?

• Portability

• Durability

• Divisibility

• Uniformity

A ____ is a group that channels savings to investors.

• Creditors
• Financial Institutions
• Collateral
• Secured

Something of value that can be claimed by a lender if a loan is not repaid

• Property
• Creditor
• Collateral
• Interest

Who pays interest on a loan

• a lender
•  a borrower
• a credit union
• a creditor

A _________ is a loan used to buy real estate, such as a house or an office building.

• finance company

• savings and loan association

• mortgage loan

• none of the above

Modern society uses coins, currency, checks, and debit cards as part of the _______________.

• monetary system

• currency