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WorksheetsBanking- Chapter 10: Specialized Bank Services
Total questions: 14
Worksheet time: 7mins
A financial corporation that is federally chartered and allowed to engage ONLY in international banking.
correspondent bank
Edge corporation
foreign direct investment
the World Bank
An instrument given by a bank on behalf of a buyer to pay back the bank of the seller a given sum in a given time is called a(n)
promissory note
draft
international IOU
letter of credit
The demand for a given currency will be strong if all of the following factors are present EXCEPT
low inflation
low interest rates
a positive trade balalnce
a strong economic forecast
Which of the following is a provision of the Gramm-Leach-Bliley Act?
Banks are prohibited from owning brokerage firms.
Banks are not allowed to sell stock.
Financial services companies are required to have and provide to customers a written privacy policy.
Which of the following bank collection services allows accounts receivable payments to be sent directly to the bank?
zero-balance accounts
automated clearing house network
lockbox service
The practice of buying debt at a discount is called
discounting
investing
financing
factoring
The person who creates a trust is called a...
corpus
donor
beneficiary
maker
Which of the following retirement products allows employees to make tax-deferred contributions, which are often matched by the company, to a trust?
traditional IRA
variable annuity
401(k) plan
ROTH IRA
A debt instrument issued for a period of more than one year with the purpose of raising capital through borrowing is called a(n)
bond
annuity
CD
stock
The _____________ charters and supervises U.S. national banks that do international business.
The Securities and Exchange Commission
The Federal Deposit Insurance Corporation
Office of the Comptroller of the Currency
A _________ bank acts as a point of contact for other banks that do not have a branch in the host country.
commercial
correspondent
edge corporation
_____________ is the practice of depositing, investing, or exchanging money in such a way as to conceal its illegal source.
check fraud
insider trading
money laundering
paperhanging
Accounts ____________________ refers to short-term debt from purchases on credit that must be paid to suppliers of goods or services, typically within 60 days or less.
accounts payable
accounts receivable
_________ is the capital raised by a corporation through the issuance of shares entitling holders to an ownership interest in the corporation.
annuity
bond
mutual fund
stock
