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Banking Unit Review Flashcards | StudBud
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Banking Unit Review
Banking Unit Review
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Questions
17
Answers
1
Which of the following codes indicates money is
electronically
being removed
EFTD
GDEP
INT
GWD
2
Which type of financial institution specializes in investing your money in a variety of ways?
Stock Brokerage Firm
Asset Management Firm
Credit Union
Finance Company
3
Why does it pay to start investing your money early in life?
You have more time to add to investments.
You will earn more interest over the years
You won't have to invest as much at a time.
All of the above.
4
Which of the following is a good reason for getting a credit card?
So you can shop all you want even with no money
To build a good credit rating
The interest rates are nice and low
5
Which of the following types of investments are the highest risk?
Mutual Funds
Bonds
RRSP's
Stocks
6
Which type of loan has the highest interest rates?
Short Term Loan
Line of Credit
Mortgage
Credit Card
7
What financial institution
specializes
in lending money to small businesses?
Credit Union
Asset Management Firm
Finance Company
Standard Bank
8
Which type of interest would you want in order to earn the most on your savings/investments?
Compound interest
Simple interest
9
What type of interest is calculated for ONLY the initial investment or debt?
Simple interest
Compound interest
10
What are some thing you might want to consider before picking a brand of credit card?
Annual Fee
Interest Rate
All of the above
Rewards
11
What kind of loan would you get if you were borrowing money to pay for a car?
Mortgage
Line of Credit
Short Term Loan
Credit Card
12
With which type of investment are you "lending" money to the government?
Stocks
RRSP's
Mutual Funds
Bonds
13
With which type of investment are you putting money aside specifically for retirement?
Bonds
Mutual Funds
Stocks
RRSP's
14
Which financial institution often has private memberships?
Finance Company
Standard Bank
Asset Management Firm
Credit Union
15
What kind of loan would you get if you were trying to put all your debt together into one?
Credit Card
Line of Credit
Consolidation Loan
Short Term Loan
16
Which of the following means you are taking money out of your account?
Credit
Debit
17
If someone is a moderate risk investor, which would they put most of their money in?
Mutual Funds
RRSP's
Stocks
Bonds