Financial Algebra Midterm Exam

Front

What is a restrictive endorsement?

Back

An endorsement that restricts or limits the use of a check, allowing it to be deposited into your account only.

Front

What is labeled number 4 on a check?

Back

Check number.

Front

What is a duplicate check?

Back

A convenient carbonless copy sheet of your check.

Front

What should you write on the back of a check to ensure it can only be deposited?

Back

For Deposit Only and Your Signature.

Front

What is a checkbook register?

Back

A booklet used to record checking account transactions.

Front

What is a blank endorsement?

Back

An endorsement that allows anyone to cash or deposit the check.

Front

What is the purpose of a check?

Back

A written order directing a bank to pay a specific amount from a person's account.

Front

What is the difference between a payee and a drawee?

Back

The payee is the person or entity receiving the money, while the drawee is the bank that pays the check.

Front

What does it mean to reconcile a checkbook?

Back

To compare the checkbook register with bank statements to ensure accuracy.

Front

What is the significance of the date on a check?

Back

It indicates when the check was written and can affect its validity.