Test yourself
1. Choose the right answer: Both credit and collections are important responsibilities-of financial managers.
A. participants
B. operators
C. advertisers
D. tellers
E. managers
2. Choose the right answer: An operating budget is the … of dollar allocations to various costs and expenses needed to run or operate the business, given projected revenues.
A. plan
B. projection
C. statement
D. account
E. saving
3. Choose the right answer: The new banks, called national banks, issued notes backed by U.S. government bonds. The notes of these banks were strictly controlled by the …
A. bank
B. parliament
C. government.
D. party
E. financial policy
4. Choose the right answer: Many banks also offer a special account for which they issue a document called a certificate of …
A. deposit
B. assets
C. shares
D. payment
E. budget
5. Choose the right answer: The major obligation of a bank is to give depositors their …when they want it.
A. certificate
B. taxes
C. money
D. report
E. cheque
6. Choose the right answer: Business companies … from banks to buy new equipment and build new factories.
A. certify
B. issue
C. estate
D. borrow
E. appraise
7. Choose the right answer: The ancient Romans developed an advanced banking system to serve their vast trade...
A. balance
B. position
C. cooperation
D. network.
E. authority
8. Choose the right answer: Taxes represent an… of cash from the business.
A. outflow
B. threat
C. payment
D. parity
E. transaction
9. Choose the right answer: Forecasting is an important component of financial …
A. circulation
B. budget
C. planning
D. capital
E. projection
10. Choose the right answer: The chief financial officer is known as the … or vice president of finance.
A. director
B. treasurer
C. teller
D. shareholder
E. manager
11. Choose the right answer: A credit union distributes its earnings to the members as…
A. taxes
B. loan
C. dividends
D. shares
E. bills
12. Choose the right answer: Banks offer an order of … accounts, usually called NOW accounts
A. withdrawal
B. liquid
C. commission
D. transferable
E. profitable
13. Choose the right answer: A trust fund consists of money, securities, or other property managed by one person or group for the … of another.
A. benefit
B. fund
C. insurance
D. balance
E. revenue
14. Choose the right answer: Banks rent safe-deposit boxes, providing people with a secure… for important papers and other valuable items
A. transaction
B. place
C. value
D. bank
E. market
15. Choose the right answer: A commercial bank in the USA is owned by … who buy shares in it.
A. creditors
B. chairmen
C. directors
D. stockholders
E. payers
16. Choose the right answer: The internal auditor checks on the journals, ledgers, and financial statements prepared by the … department.
A. managing
B. financial
C. accounting
D. commercial
E. industrial
17. Choose the right answer: To be a borrower you must be a … of the bank because the money will be lent to you through a bank account.
A. creditor
B. customer
C. payee
D. clerk
E. shareholder
18. Choose the right answer: A short-term … is a prediction of revenues, costs, and expenses for a period of one year or less.
A. deposit
B. forecast
C. loan
D. accountant
E. credit
19. Choose the right answer: Savings banks, savings and loan associations, and credit unions are often called thrift institutions, or simply thrifts, because their chief purpose is to …saving.
A. certify
B. insure
C. issue
D. encourage
E. lend
20. Choose the right answer: Bond traders buy and sell …
A. securities
B. transactions
C. bonds
D. assets
E. credits
21. Choose the right answer:
A.
B.
C.
D.
E.
