Chapter 2 Banking Services

What are the two main types of accounts at banks?

• checking and balancing
• checking and savings
• checking and debit
• savings and borrowing

Interest is a fee charged...

• by a lender to a borrower
• by a borrower to a lender
• by a bank for writing a check
• by a bank for making a deposit

In banking, what does ATM stand for?

• Automatic To Money
• At The Moment
• Asynchronous Transfer Mode
• Automated Teller Machine

A direct deposit...

• cannot be paid by credit unions
• cannont be expressed as a percentage 
• is another name for compound interest
• goes to your account without using a check

What must be on a check?

• Your signature
• The current date
• The amount of money
• All of the above

This organization federally insures deposits in banks up to $250,000.

• IRS
• FBI
• FDIC
• SEC

A document produced by the bank that tracks withdrawals, deposits, and interest earned.

• Bank Statement
• Check Register
• Certificate of Withdrawals
• Certificate of Deposits

Tags

CCSS.6.NS.B.3

CCSS.6.NS.C.5

Which formula would you use if Janet deposits $17,500 in a savings account with 4% interest compounded monthly. What is the ending balance after 3 years.

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CCSS.HSA.CED.A.1

CCSS.HSA.SSE.A.1

CCSS.HSF.BF.A.1

CCSS.HSF.LE.A.1

CCSS.HSF.LE.A.2

Ricco deposits $500 in an account that earns 2.5% interest compounded annually for 3 years. Wally deposits $500 in an account that earns 5.1% interest compounded annually for 2 years. Who will earn the greatest amount of interest?

• Ricco will earn $13.85 more than Wally

• Wally will earn $13.85 more than Ricco

Tags

CCSS.HSA.CED.A.1

CCSS.HSA.SSE.A.1

CCSS.HSF.BF.A.1

CCSS.HSF.LE.A.1

CCSS.HSF.LE.A.2

Both Ryan and Tom open their accounts with an initial deposit of $3500. They are both planning a six-year investment and will withdraw their money after 6 years. Who will have a greater balance in six years? How much more will that person have?

• Tom will have $83.77 more than Ryan.

• Ryan will have $83.77 more than Tom.

• Ryan will have $3416.23 more than Tom.

• Tom will have $3416.23 more than Ryan.

Tags

CCSS.HSA.CED.A.1

CCSS.HSA.REI.B.3

CCSS.HSA.SSE.A.1

CCSS.HSF.LE.A.1

CCSS.HSF.LE.A.2