BM21 Chapter 17 Quiz

17.1 An organization that collects money from clients and uses it for investments to benefit both the client and the organization

• financial institution

• bank

• FDIC

• Federal Reserve System (FED)

17.1 A financial institution that accepts demand deposits, makes consumer and commercial loans, and buys and sells currency and government securities.

• financial institution

• bank

• FDIC

• Federal Reserve System (FED)

17.1 The central bank of the United States

• financial institution

• bank

• FDIC

• Federal Reserve System (FED)

17.1 A federal agency that insures deposits in banks and savings institutions

• financial institution

• bank

• FDIC

• Federal Reserve System (FED)

Money put into a financial institution by depositors which can be withdrawn at any time without penalty

• time deposit

• commercial loan

• demand deposit

• consumer loan

17.1 Deposits made for a specified period of time that cannot be withdrawn early without some financial penalty

• time deposit

• commercial loan

• demand deposit

• consumer loan

17.1 A loan made to a business

• time deposit

• commercial loan

• demand deposit

• consumer loan

17.1 A loan made to an individual for personal use

• time deposit

• commercial loan

• demand deposit

• consumer loan

17.1 Financial institution whose primary purpose is to offer financial products and services other than deposits and loans

• check

• automatic teller machine (ATM)

• nonbank

• electronic funds transfer (EFT)

17.2 A written order requiring the financial institution to pay previously deposited money to a third party on demand

• check

• endorsement

• collateral

• unsecured loan