Interest Types Quiz

Choose a study mode

Play Quiz
Study Flashcards
Spaced Repetition
Chat to Lesson

Podcast

Play an AI-generated podcast conversation about this lesson

Questions and Answers

What is the characteristic of a fixed interest type?

  • Remains the same throughout the fixed rate term (correct)
  • Is lower than the lender's standard variable rate
  • Is the total cost of a loan
  • Changes over time

What is the Annual Percentage Rate (APR) a measure of?

  • The cost of borrowing money
  • The rate at which a commercial bank would charge to their most financially strong customers
  • The total cost of a loan, including both the interest rate and any other associated fees (correct)
  • The rate of interest set by banks for their best customers

What is the characteristic of a discounted interest type?

  • Remains the same throughout the fixed rate term
  • Is lower than the lender's standard variable rate, and it’s what a bank will offer its customers for a specific period of time as a promotional deal (correct)
  • Is the total cost of a loan, including both the interest rate and any other associated fees
  • Changes over time

What is the prime interest type related to?

<p>The rate of interest set by banks for their best customers (D)</p> Signup and view all the answers

Which type of interest is charged on the principal amount as well as any accumulated interest?

<p>Compound interest (A)</p> Signup and view all the answers

What is the main characteristic of straight commission?

<p>Earnings based on commission alone (B)</p> Signup and view all the answers

Which type of commission includes a basic or fixed salary plus a commission?

<p>Salary plus bonus commission (D)</p> Signup and view all the answers

What is public interest concerned with?

<p>Welfare of the general public and society (C)</p> Signup and view all the answers

In which type of commission is the total earning of the sales agent based on commission rates for different levels of sales?

<p>Graduated commission (D)</p> Signup and view all the answers

What is the additional commission paid to a sales supervisor or head of department based on store sales or the sales of the representatives who work under the supervisor?

<p>Override commission (A)</p> Signup and view all the answers

Which type of commission is usually at a fixed percentage?

<p>Straight commission (A)</p> Signup and view all the answers

Flashcards are hidden until you start studying

Related Documents

Banking Glossary 2.pptx

More Like This

Interest Types Quiz
10 questions

Interest Types Quiz

MotivatedMalachite avatar
MotivatedMalachite
Interest Groups: Types and Goals
75 questions
Use Quizgecko on...
Browser
Browser