Banking and Finance : Banking Quiz

Which of the following is digital currency that does not have a physical form?

• Currency

• Cryptocurrency

• Coinage

What is the purpose of a bank?

• A financial intermediary

• A financial advisor

• A financial investigator

• A financial tracker

Valerie has a plastic card that she can only use to withdraw money directly from her checking account. She cannot use this card to make purchases. What is she using?

• Debit card

• Credit card

• ATM card

• Check

Which type of account functions like a savings account, but limits the number of transactions?

• Savings

• Money market

• Line of credit

• Checking

Which type of account is also a type of loan, which the customer has access to for a set amount of time?

• Checking

• Money market

• Savings

• Line of credit

What type of account is used regularly and handles day-to-day transactions?

• Savings

• Line of credit

• Money market

• Checkings

Frank has ten dollars. If he does not spend any of the money, it will keep its worth of ten dollars. How is that using money?

• A unit of measure

• A store of value

• A medium of exchange

What type of account holds money that is guaranteed for a specific rate of interest for a specified amount of time?

• Savings

• Certificate of deposit

• Checking

• Line of credit

Who guarantees currency?

• The person who holds the money

• The financial institution that issued the money

• The FDIC

• The country of issue

What is interest?

• A fee paid to save someone else's money

• A fee paid to give away someone else's money

• A fee paid to use someone else's money

• A fee paid to invest someone else's money