WorksheetsChapter 12 Review Quiz
Total questions: 15
Worksheet time: 15mins
Which best describes the difference between bartering and the monetary system?
Bartering does not work in undeveloped countries, but the monetary system does
Monetary means trading money for money, bartering means trading goods for goods.
Bartering means trading goods for other goods instead of using money as a standard of value.
Bartering is never used in developed countries, and only rarely in undeveloped countries.
Which is NOT considered money?
coins
currency
checks
services
What happens if money is stable?
It loses its value
Its value remains unchanged.
Its value fluctuates.
It loses acceptance with most people.
What is a financial institution?
a bank account
a firm that manages money
a record of the amount of money a customer has
a medium of exchange
Which is best for storing money for a few days?
checking accounts
savings accounts
electronic funds transfers
direct deposits
How do banks make most of their money?
transferring money
collecting collateral
interest from loans
fees from checking accounts
Which is NOT a type of bank loan?
mortgage
commercial loan
line of credit
safe deposit box
Which is another term for full-service bank?
commercial bank
savings and loans association
credit union
international bank
Which would be considered "digital cash"?
dollars
coins
a credit card
a bartered service
Which types of investments are savings and loan associations known for?
commercial loans
mortgages
lines of credit
personal loans
Which is NOT true of savings and loan associations?
They have not changed much over the years.
Many have recently failed.
They are now more similar to other banking institutions.
They offer more services now than they did originally
How is a credit union different from other financial institutions?
Credit unions do not offer loans.
Credit unions do not offer credit cards.
Credit unions offer interest on their savings accounts.
Credit unions do not make a profit.
Which financial institution does NOT offer loans to its customers?
mortgage companies
finance companies
brokerage firms
insurance firms
Which statement about the Federal Reserve is true?
You can get a loan from the Federal Reserve
The Federal Reserve has always been part of the U.S. banking system.
The Federal Reserve is a full-service bank.
There are twelve regional Federal Reserve banks.
What is the Federal Reserve's main mission?
to monitor inflation
to provide the U.S. with a safe and stable monetary system
to determine the amount of money in circulation
to act as the government's fiscal agent
