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WorksheetsFinancial Services Basics
Total questions: 14
Worksheet time: 5mins
Name
Class
Date
1.
A commercial bank...
a)
is a financial institution that focuses on taking deposits and using them to fund mortgages.
b)
is a non-profit institution owned by its members and provides financial services to its members.
c)
offers a broad range of deposit accounts and gives loans to individuals and businesses.
d)
is a financial institution for businesses only
2.
A credit union...
a)
is a financial institution that focuses on taking deposits and using them to fund mortgages.
b)
is a non-profit institution owned by its members and provides financial services to its members.
c)
offers a broad range of deposit account and gives loans to individuals and businesses.
d)
is a financial institution for students only
3.
A thrift institution...
a)
is a financial institution that focuses on taking deposits and using them to fund mortgages.
b)
is a non-profit institution owned by its members and provides financial services to its members.
c)
offers a broad range of deposit account and gives loans to individuals and businesses.
d)
is a financial institution for small businesses only
4.
Which of the following insurance covers vehicles?
a)
Mortgage
b)
Racing
c)
Automobile
d)
Life
5.
Which is NOT a typical reason people invest in life insurance polices?
a)
To provide them with a way of protecting their assets, like savings and investments
b)
To replace the lost income to their families after they die
c)
To pay for final expenses, like funerals
d)
To receive pay in the event they cannot work due to injury.
6.
When comparing and contrasting savings and investing, which of the following is true?
a)
Savings is used to pay for long-term goals, while investing is used to pay for emergencies.
b)
Savings is less liquid than investing.
c)
Savings provides the foundation for financial security, while investing is used to pay for long-term goals, such as retirement
d)
Savings and investing both help a person stay at their current level of living.
7.
Which bests describes a bank
a)
Owned by its members with the intention of reinvesting profits for the benefit of members
b)
Owned by shareholders with the purpose of maximising profits
c)
Provide unbiased financial advice on a range of financial products such as loans, mortgages, pensions etc
d)
Are mainly focussed on selling insurance products
8.
Which of the following statements is not true about building societies
a)
Are owned by the members
b)
Members share in any profits
c)
Offer slightly better interest rates than banks
d)
Offer same financial products as banks
9.
Which type of financial service best describes an example of disintermediation
a)
Crowdfunding
b)
Friendly society
c)
Insurance provider
d)
HSBC
10.
Which financial service is controlled by members, are not-for-profit and offer tax free savings
a)
Credit Union
b)
Banks
c)
Building societies
d)
Friendly societies
11.
Which one of the following are financial institutions?
a)
bank and credit union
b)
library and hospital
c)
school and museum
d)
Starbucks and Wal-Mart
12.
Which services is a bank likely to offer?
a)
net deposit and balance
b)
online banking and savings accounts
c)
check writing and car wash
d)
credit card and Tootsie Rolls
13.
Banks offer different kinds of accounts because:
a)
Different customers have different needs
b)
They have to by law
c)
It seems like the fun thing to do
d)
They are greedy
14.
What do we call a fee that is collected for using someone's money?
a)
Deposit
b)
Interest
c)
Loan
d)
Check
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