W4TU-UNIT 2 CHECKING ACCOUNTS

1. How frequently does John typically receive account statements from his bank?

• Daily

• Weekly

• Monthly

• Annually

2. How much did John Jones have in his account on the first day of the statement period?

• $-72.47

• $0.55

• $694.81

• $1,442.61

3. John has two ATM transactions but only one of them has a fee (Interac). Why?

• Interac is an out-of-network ATM and First Bank charges customers if they use out-of-network ATMs.

• First Bank charges customers for using their ATMs.

• Banks charge fees if you take out less than $100 at an ATM machine.

• The first ATM transaction is free but all additional ATM transactions have a fee.

4. Most employers will pay their employees by directly depositing their paycheck into their checking account. According to his checking account statement, John was paid ________________ every __________ .

• $200.00, 3 weeks

• $694.81, 2 weeks

• $300.00, 1 month

• $100.00, 2 weeks

5. What is the impact of the Online Funds Transfer - From Savings that appears on John's statement?

• John's Savings account balance declined by $50 and his Checking account balance increased by $50

• John's Savings account balance increased by $50 and his Checking account balance declined by $50

• John's Savings account balance had no change and his Checking account balance declined by $50

• John's Savings account balance increased by $50 and his Checking account balance had no change

6. Which statement is true regarding Check #409?

• This check likely came from John’s employer.

• This check was written by John and paid to another person or business.

• This check caused John to overdraw his checking account.

• This check added $100 to John’s account.

7. Which transaction caused John to overdraw his account?

• The Online Bill Payment for $146.67

• Check No. 409 for $100

• Check No. 410 for $710.49

• The Overdraft Fee of $35

8. What was the result of John overdrawing his checking account?

• John’s payment was greater than the balance he had available in his account so the bank will deposit $237.81 into John’s account so he can pay his bills.

• John’s payment was greater than the balance he had available in his account so he was charged a $35 fee.

• John’s payment was greater than the balance he had available in his account so he was charged a $5 monthly maintenance fee.

• John’s payment was greater than the balance he had available in his account so the bank will transfer $35 from a linked account.

9. Which fees was John charged on his checking account during this statement period?

• Online Transfer Fee, Overdraft Fee, Per Check Fee

• Per Check Fee, ATM Fee, Overdraft Fee, Maintenance Fee

• Online Transfer Fee, ATM Fee, Maintenance Fee

• ATM Fee, Overdraft Fee, Maintenance Fee

10. What is the mathematical formula that you would use to describe the financial activity on a bank statement?

• Ending Balance = Previous Balance + Deposits + Withdrawals

• Ending Balance = Previous Balance - Deposits + Withdrawals

• Ending Balance = Previous Balance + Deposits - Withdrawals

• Ending Balance = Previous Balance - Deposits - Withdrawals