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PBMF Chapter 15 - Money and Banking

Total questions: 29

Worksheet time: 15mins

Name
Class
Date
1.

money

a)

Anything of value that is accepted in return for goods or services

b)

Document that guarantees the payment of a specific amount of money, either on demand, or at a set time with the payer named on the document.

c)

Type of financial investment issued by a corporation, government, or other organization.

d)

Security that pays interest over terms of ten to thirty years.

2.

Banknote

a)

Anything of value that is accepted in return for goods or services

b)

Document that guarantees the payment of a specific amount of money, either on demand, or at a set time with the payer named on the document.

c)

Type of financial investment issued by a corporation, government, or other organization.

d)

Security that pays interest over terms of ten to thirty years.

3.

Security

a)

Anything of value that is accepted in return for goods or services

b)

Document that guarantees the payment of a specific amount of money, either on demand, or at a set time with the payer named on the document.

c)

Type of financial investment issued by a corporation, government, or other organization.

d)

Security that pays interest over terms of ten to thirty years.

4.

Government bond

a)

Anything of value that is accepted in return for goods or services

b)

Document that guarantees the payment of a specific amount of money, either on demand, or at a set time with the payer named on the document.

c)

Type of financial investment issued by a corporation, government, or other organization.

d)

Security that pays interest over terms of ten to thirty years.

5.

treasury note

a)

Security that pays interest over terms ranging from two to ten years.

b)

Security that matures in a year or less

c)

Money is used in exchange for goods and services needed by individuals, businesses, and governments.

d)

Money is a common measure of what something is worth or price of a good or service

6.

treasury bill

a)

Security that pays interest over terms ranging from two to ten years.

b)

Security that matures in a year or less

c)

Money is used in exchange for goods and services needed by individuals, businesses, and governments.

d)

Money is a common measure of what something is worth or price of a good or service

7.

medium of exchange

a)

Security that pays interest over terms ranging from two to ten years.

b)

Security that matures in a year or less

c)

Money is used in exchange for goods and services needed by individuals, businesses, and governments.

d)

Money is a common measure of what something is worth or price of a good or service

8.

unit of value

a)

Security that pays interest over terms ranging from two to ten years.

b)

Security that matures in a year or less

c)

Money is used in exchange for goods and services needed by individuals, businesses, and governments.

d)

Money is a common measure of what something is worth or price of a good or service

9.

store of value

a)

When money can be saved and used at a later date.

b)

Mechanism a nation uses to provide and manage money for itself

c)

Process of transferring money from one individual or organization to another.

d)

Plastic card that allows the holder to make credit purchases up to an authorized amount.

10.

monetary system

a)

When money can be saved and used at a later date.

b)

Mechanism a nation uses to provide and manage money for itself

c)

Process of transferring money from one individual or organization to another.

d)

Plastic card that allows the holder to make credit purchases up to an authorized amount.

11.

financial exchange

a)

When money can be saved and used at a later date.

b)

Mechanism a nation uses to provide and manage money for itself

c)

Process of transferring money from one individual or organization to another.

d)

Plastic card that allows the holder to make credit purchases up to an authorized amount.

12.

credit card

a)

When money can be saved and used at a later date.

b)

Mechanism a nation uses to provide and manage money for itself

c)

Process of transferring money from one individual or organization to another.

d)

Plastic card that allows the holder to make credit purchases up to an authorized amount.

13.

debit card

a)

Allows customers to pay for purchases directly from their checking account.

b)

Movement of money electronically from one financial institution or account to another.

c)

Any organization that provides services related to money.

d)

Financial institution that accepts money from customers and deposits it into the customer’s account.

14.

electronic funds transfer EFT

a)

Allows customers to pay for purchases directly from their checking account.

b)

Movement of money electronically from one financial institution or account to another.

c)

Any organization that provides services related to money.

d)

Financial institution that accepts money from customers and deposits it into the customer’s account.

15.

depository institution

a)

Allows customers to pay for purchases directly from their checking account.

b)

Movement of money electronically from one financial institution or account to another.

c)

Any organization that provides services related to money.

d)

Financial institution that accepts money from customers and deposits it into the customer’s account.

16.

Deposit

a)

Money placed into an account

b)

Nonprofit financial institution that is privately owned and provides banking services for its members.

c)

Financial institution that offers savings and loan services

d)

Financial institution that does not accept deposits

17.

credit union

a)

Money placed into an account

b)

Nonprofit financial institution that is privately owned and provides banking services for its members.

c)

Financial institution that offers savings and loan services

d)

Financial institution that does not accept deposits

18.

Financial Institution

a)

Any organization that provides services related to money

b)

Nonprofit financial institution that is privately owned and provides banking services for its members.

c)

Financial institution that offers savings and loan services

d)

Financial institution that does not accept deposits

19.

credit union

a)

Money placed into an account

b)

Nonprofit financial institution that is privately owned and provides banking services for its members.

c)

Financial institution that offers savings and loan services

d)

Financial institution that does not accept deposits

20.

saving and loan institution

a)

Money placed into an account

b)

Nonprofit financial institution that is privately owned and provides banking services for its members.

c)

Financial institution that offers savings and loan services

d)

Financial institution that does not accept deposits

21.

non-depository institution

a)

Money placed into an account

b)

Nonprofit financial institution that is privately owned and provides banking services for its members.

c)

Financial institution that offers savings and loan services

d)

Financial institution that does not accept deposits

22.

securities firm

a)

Financial institution that is involved in trading securities in financial markets.

b)

Financial institution that provides services for businesses.

c)

Financial institution that makes money by issuing loans.

d)

Bank account that allows the account owner to make deposits, write checks, and withdraw money

23.

investment bank

a)

Financial institution that is involved in trading securities in financial markets.

b)

Financial institution that provides services for businesses.

c)

Financial institution that makes money by issuing loans.

d)

Bank account that allows the account owner to make deposits, write checks, and withdraw money

24.

finance company

a)

Financial institution that is involved in trading securities in financial markets.

b)

Financial institution that provides services for businesses.

c)

Financial institution that makes money by issuing loans.

d)

Bank account that allows the account owner to make deposits, write checks, and withdraw money

25.

checking account

a)

Financial institution that is involved in trading securities in financial markets.

b)

Financial institution that provides services for businesses.

c)

Financial institution that makes money by issuing loans.

d)

Bank account that allows the account owner to make deposits, write checks, and withdraw money

26.

check

a)

Written order for the bank to pay a specific amount to the person or organization to which the check is written

b)

Bank account used by depositors to accumulate money for future use.

c)

Prearranged amount of credit that is available for a business to use as needed.

d)

Document guaranteeing that a buyer will pay the seller the agreed-upon amount and within the time specified.

27.

savings account

a)

Written order for the bank to pay a specific amount to the person or organization to which the check is written

b)

Bank account used by depositors to accumulate money for future use.

c)

Prearranged amount of credit that is available for a business to use as needed.

d)

Document guaranteeing that a buyer will pay the seller the agreed-upon amount and within the time specified.

28.

line of credit

a)

Written order for the bank to pay a specific amount to the person or organization to which the check is written

b)

Bank account used by depositors to accumulate money for future use.

c)

Prearranged amount of credit that is available for a business to use as needed.

d)

Document guaranteeing that a buyer will pay the seller the agreed-upon amount and within the time specified.

29.

letter of credit

a)

Written order for the bank to pay a specific amount to the person or organization to which the check is written

b)

Bank account used by depositors to accumulate money for future use.

c)

Prearranged amount of credit that is available for a business to use as needed.

d)

Document guaranteeing that a buyer will pay the seller the agreed-upon amount and within the time specified.