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Banking and Finance : Banking Quiz

Total questions: 20

Worksheet time: 10mins

Name
Class
Date
1.

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

a)

Currency

b)

Cryptocurrency

c)

Coinage

2.

What is the purpose of a bank?

a)

A financial intermediary

b)

A financial advisor

c)

A financial investigator

d)

A financial tracker

3.

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?

a)

Debit card

b)

Credit card

c)

ATM card

d)

Check

4.

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

a)

Savings

b)

Money market

c)

Line of credit

d)

Checking

5.

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

a)

Checking

b)

Money market

c)

Savings

d)

Line of credit

6.

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

a)

Savings

b)

Line of credit

c)

Money market

d)

Checkings

7.

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)

A unit of measure

b)

A store of value

c)

A medium of exchange

8.

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

a)

Savings

b)

Certificate of deposit

c)

Checking

d)

Line of credit

9.

Who guarantees currency?

a)

The person who holds the money

b)

The financial institution that issued the money

c)

The FDIC

d)

The country of issue

10.

What is interest?

a)

A fee paid to save someone else's money

b)

A fee paid to give away someone else's money

c)

A fee paid to use someone else's money

d)

A fee paid to invest someone else's money

11.

What type of account holds money that a customer does not plan to spend immediately?

a)

Line of credit

b)

Checking

c)

Savings

d)

Money market

12.

If Ryan purchases a sandwich, he is using money as:

a)

a medium of exchange

b)

a store of value

c)

a unit of measure

13.

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

a)

Line of credit

b)

Checking

c)

Money market

d)

Savings

14.

This financial institution helps everyday customers and small businesses with everyday transactions.

a)

Commercial bank

b)

Online bank

c)

Credit union

15.

John has misplaced his debit card, but needs to mail a payment for his electricity bill. What other form of payment can he use?

a)

ATM card

b)

Check

c)

Credit card

d)

Debit card

16.

What entity implements policies concerning the availability of money and its cost?

a)

The National Credit Association

b)

The Federal Reserve System

c)

The Federal Deposit Insurance Corporation

d)

The National Credit Union Administration

17.

Helena set the price of her scarves at $20. How is she using money?

a)

A store of value

b)

A unit of measure

c)

A medium of exchange

18.

A financial intermediary is an entity that acts as a(n) ___________________ between two parties in a financial transaction.

a)

investigator

b)

investor

c)

merchant

d)

middleman

19.

This financial institution can only be accessed using a computer or smart device. What type of institution is this?

a)

Credit union

b)

Commercial bank

c)

Online bank

20.

This financial institution was formed by military personnel to meet their financial needs. What type of institution is this?

a)

Online bank

b)

Credit union

c)

Commercial bank