PF Ch 5 Checking Review

Paying bills online is generally considered slower and riskier than writing checks.

• True
• False

When a check is returned to the payee’s bank due to insufficient funds, the check is said to have

• been postdated.
• been canceled.
• bounced.
• floated.

When you open a checking account, most banks will require you to have an initial deposit of at least

• $1,000.
• $500.
• $250.
• $50.

Which part of a check provides a place for you to write the purpose of the check?

• the signature line
• the memo line
• the routing number
• the payee line

At the beginning of this month, the balance of Vance's checking account was $697.96. So far this month, he has received a paycheck via direct deposit of $962.88, been charged a monthly service fee from his bank of $25.00, used a debit card linked to his account to make a purchase of $83.12, written a check for $138.83 that has already been deposited, and deposited a check written to him for $71.17. What is the current balance of Vance's checking account?

• $1,485.06
• $1,620.38
• $1,510.06
• $787.10

Money added to a checking account is called a

• withdrawal
• deposit
• endorsement
• drawee

Always use permanent ink when writing a check.

• True
• False

What is the correct spelling?

• forty
• fourtie
• fourty
• fortie

What is the correct spelling?

• ninty
• ninetey
• nintey
• ninety

A personal check that the bank guarantees or certifies to be good is called:

• certified check
• cashier's check
• debit card
• money order