| A | B |
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| Treasury | THESE instruments are securities sold to finance the cost of running the government |
| Deposits | accounts that permit depositors to make withdrawals at any time without penalty are called demand __________ |
| Treasury bill | For a person who wants to invest a large sum of money for a three-month period, one of the safest of all short-term investments is THIS |
| LOW | Businesses frequently INVEST in Treasury bonds because of their _____ risk potential |
| $10,000 | The total amount of savings bonds that can be purchased by an investor during any year |
| substitute check | In processing checks, an exact digital copy of an original check |
| Commercial banks | The inancial institution offers the widest variety of services |
| securities | A finance company is a type of non-bank that obtains funds by issuing THESE |
| Internet transaction | According to studies, the banking transactions is the cheapest |
| AFTER | A certificate of deposit allows deposits and withdrawals ONLY __________ a period of time without a financial penalty |
| inventory | THIS would be accepted by a bank as security for a business loan |
| Interest rate | Treasury instruments, ranked from lowest to highest _______________ would be: Treasury bill, Treasury note, Treasury bond |
| Investing | A good rule to follow when doing THIS is diversify by investing in stocks, bonds, and money market funds |
| direct deposit | The federal government encourages people to use THIS for payments such as tax refunds and Social Security benefit. |
| Savings Bond | Non-negotiable securities sold by the U.S. Treasury. |
| non-bank | Financial institution whose primary purpose is to offer financial products and services other than deposits and loans. |
| secured loan | A loan backed by something of value owned by the borrower |
| liquidity | The ease of turning an investment into cash without significant loss |
| Electronic funds transfer | Transferring money by computer. |
| collateral | Property a borrower pledges to assure repayment of a loan |
| instruments | Securities issued by the U.S. government are Treasury _________ |
| demand deposit | Money put into a financial institution by depositors which can be withdrawn at any time without penalty |
| financial institution | An organization that collects money from clients and uses it for investments to benefit both the client and the organization. |
| investment | The use of money to make more money. |
| taxes | Interest earned on U.S. savings bonds is exempt from state and local _____ |
| funds | With ATMs, bank customers can deposit, withdraw, and transfer THESE |
| payroll preparation | EFTs CANNOT handle THIS activity |
| whole world's | When compared over time, each stock index provides investors with a picture of what is happening in the _____________ financial market. |
| beginning | variable interest rate is usually cheaper at the _____________ of the loan |
| credit union | A financial institution that offers loans and deposit services to MEMBERS only |
