Finance-questions

Question 15 pts

A ____________ is a document ordering a ____________ to pay a stated sum of money from a person’s account to another person.

Routing Number ———— Debit Card

Bank Statement ———— ATM

Credit Card ———— Deposit

Check ———— Bank

Flag this QuestionQuestion 25 pts

The ____________ of a check is the ____________ on its back, authorizing its deposit or cashing.

Number ———— Code

PIN ———— Register

Bouncing ———— Transaction

Endorsement ———— Signature

Flag this QuestionQuestion 35 pts

Select the information that is NOT included when writing a check.

Amount of money to be paid

Date the check is written

Name of person or business to whom the check is written

Account balance

Flag this QuestionQuestion 45 pts

Technology has made banking transactions easier and faster by means of:

(Select all that apply)

ATMs and Debit Cards

Online Banking

Insufficient Funds

Electronic Checks and Direct Deposits

Flag this QuestionQuestion 55 pts

In a check, the routing number identifies the ____________, and the account number identifies the ____________.

Financial Institution ———— Account

ATM ———— Bank

Transaction ———— Check

Debit Card ———— Credit Card

Flag this QuestionQuestion 65 pts

In this check, the number 243 in the lower left corner is the:

Routing Number

Check Number

Account Number

Amount of money

Flag this QuestionQuestion 75 pts

A checkbook register is used to record ____________.

Only ATM withdrawals

All the transactions made in a checking account

Only direct deposits

Only debit card transactions

Flag this QuestionQuestion 85 pts

The initial balance in a checking account is $ 2,500. After paying a bill for $ 150, depositing a check for $ 200, withdrawing $ 70 using an ATM, transferring $ 1,000 to a savings account, and receiving a direct deposit for $ 1,020, what is the final balance in that checking account ?

$ 2,000

$ 2,715

$ 2,450

$ 2,500

Flag this QuestionQuestion 95 pts

Select all the pros that apply to the use of debit cards.

It is small and convenient

Does not allow overspending

Opens the possibility of identity theft

Allows a person to carry less cash

Flag this QuestionQuestion 105 pts

When writing a check, make sure NOT to ____________.

Have enough funds in your account

Sign a blank check

Write the amount of money in numbers and in words

Write the date of the check

Flag this QuestionQuestion 115 pts

The present value of an investment is $ 20,000 and the interest earned is $ 575.

What is the future value of the investment ?

$ 2, 575

$ 19, 425

$ 20, 000

$ 20, 575

Flag this QuestionQuestion 125 pts

An investment of $ 40,000 earns simple interest at a rate of 7 % for 5 years.

Find the total interest earned.

$ 54, 000

$ 11, 400

$ 14, 000

$ 47, 500

Flag this QuestionQuestion 135 pts

The formula

FV=PVâ‹…(1+APRn)nâ‹…t

is used to calculate the ____________.

Annual percentage rate

Future value for compound interest

Future value for simple interest

Present value for simple interest

Flag this QuestionQuestion 145 pts

The present value of an investment is ____________.

The future value of an investment is ____________.

The number of years needed to double the money The number of years needed to triple the money

The number of monthly payments necessary to pay a debt The number of compounding periods per year

The value of the sum of money in the present The value of the sum of money in a specific date in the future

The amount of money earned The percentage of interest of the investment

Flag this QuestionQuestion 155 pts

In the formula

FV=PVâ‹…(1+APRn)nâ‹…t

the variable n represents ____________.

The future value of the investment

The number of compounding periods per year

The time (in years)

The present value of the investment

Flag this QuestionQuestion 165 pts

A 10 year investment of $ 45,000, earning at a rate of 8 %, compounded monthly, has a future value of ____________.

$ 85,357.25

$ 18,388.99

$ 99,883.81

$ 73,251.53

Flag this QuestionQuestion 175 pts

How much do you need to invest today, for the investment to grow to $ 20,000 in 5 years, if the APR is 4 %, compounded daily ?

$ 24,427.79

$ 16,374.79

$ 18,745.21

$ 24,419.93

Flag this QuestionQuestion 185 pts

What is the monthly payment for a car loan of $ 32,000 and an APR of 5 % for 4 years ?

$ 815.72

$ 320.45

$ 736.94

$ 603.60

Flag this QuestionQuestion 195 pts

An investment of $ 7,000 pays an interest of 8 %, compounded continuously for 12 years.

How much is in the account at the end of the investment ?

$ 78,125.11

$ 23,629.53

$ 2,680.25

$ 18,281.88

Flag this QuestionQuestion 205 pts

Using the Rule of 70, estimate how long it takes for an investment to double if the APR is 5 %.

22 years

7.5 years

14 years

5 years