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MONEY

Quiz by ashwinisuraj (EMP/001043)

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5 questions
Show answers
  • Q1
    What is the purpose of a savings account?
    To make everyday transactions
    To borrow money from the bank
    To earn interest on money deposited
    To invest in stocks
    30s
  • Q2
    What is inflation?
    A type of tax imposed on goods and services
    A general increase in prices and fall in the purchasing value of money
    A decrease in prices and rise in the purchasing value of money
    A system that regulates the flow of money in an economy
    30s
  • Q3
    What is the difference between a debit card and a credit card?
    A debit card allows you to spend money by drawing directly from your checking account, while a credit card allows you to borrow money from the bank up to a certain limit
    A debit card is only used for online transactions, while a credit card is used for in-person purchases
    A debit card allows you to borrow money from the bank, while a credit card allows you to spend money by drawing directly from your checking account
    A debit card is issued by a bank, while a credit card is issued by a credit union
    30s
  • Q4
    What is compound interest?
    An additional fee imposed on loans
    Interest charged by banks for using credit cards
    Interest calculated on the initial principal amount and any accumulated interest
    Interest earned on savings accounts that is added to the principal
    30s
  • Q5
    What is the concept of opportunity cost?
    The monetary value of an item or service
    The loss of potential gain from other alternatives when one alternative is chosen
    The process of budgeting and saving money
    The total income earned in a given time period
    30s

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