Name:
Class:
Date:
Copyright Cengage Learning. Powered by Cognero.
Page 1
1. The marketing department of a bank provides support services such as bookkeeping and typing.
a.
True
b.
False
ANSWER:
False
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.1 – LO: 13.1.1
2. A bank’s Personal Banking department is sometimes called Small Business Lending.
a.
True
b.
False
ANSWER:
False
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.1 – LO: 13.1.1
3. Trust officers evaluate the financial condition of individuals and businesses seeking credit or a loan.
a.
True
b.
False
ANSWER:
False
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.1 – LO: 13.1.1
4. The human resources department establishes a bank’s policies and procedures for hiring, training, and evaluating
employees.
a.
True
b.
False
ANSWER:
True
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.1 – LO: 13.1.1
5. Benefits involve matters such as hours of employment and time off for vacation, illness, and holidays.
a.
True
b.
False
ANSWER:
True
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.2.1 – LO: 13.2.1
6. The first step in the hiring process for a bank is the job interview.
a.
True
b.
False
ANSWER:
False
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.2.1 – LO: 13.2.1
7. It is illegal for a bank to keep records of its employees’ personal information, such as full name, address, and Social
Name:
Class:
Date:
Copyright Cengage Learning. Powered by Cognero.
Page 2
Security number.
a.
True
b.
False
ANSWER:
False
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.2.2 – LO: 13.2.2
8. One way to ensure that employees are meeting the bank’s goals is to make sure they understand their responsibilities
and are performing at an expected level.
a.
True
b.
False
ANSWER:
True
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.3.1 – LO: 13.3.1
9. Employees are never involved in the determination of a bank’s performance standards; this is something management
alone can establish.
a.
True
b.
False
ANSWER:
False
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.3.1 – LO: 13.3.1
10. Employees who disagree with anything in a performance review should have an opportunity to appeal the evaluation.
a.
True
b.
False
ANSWER:
True
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.3.1 – LO: 13.3.1
11. The division of banks into departments is called
a.
sectioning.
b.
subdividing.
c.
departmentalization.
d.
compartmentalization.
ANSWER:
c
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.1 – LO: 13.1.1
12. This bank department provides financial and investment services to individuals and institutions.
a.
brokerage department
b.
insurance department
c.
trust department
d.
consumer lending department
Name:
Class:
Date:
Copyright Cengage Learning. Powered by Cognero.
Page 3
ANSWER:
a
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.1 – LO: 13.1.1
13. Which of the following is NOT a functional department of a bank?
a.
financial planning department
b.
personal banking department
c.
human resources department
d.
trust department
ANSWER:
c
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.1 – LO: 13.1.1
14. Which operational department provides critical technological support for the products and services the bank offers?
a.
public relations department
b.
technical department
c.
trust department
d.
accounting/finance department
ANSWER:
b
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.1 – LO: 13.1.1
15. Which of the following is a title typically held by a bank officer?
a.
bookkeeper
b.
marketing coordinator
c.
job analyst
d.
controller
ANSWER:
d
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.1 – LO: 13.1.1
16. Which of the following is NOT a typical duty of a bank teller?
a.
manage large sums of money placed in trust with the bank according to clients’ wishes
b.
prepare currency and coin for retail customers
c.
sell savings bonds
d.
balance the cash drawer daily
ANSWER:
a
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.2 – LO: 13.1.2
17. A public employment event at which a bank can present employment opportunities to a large number of people at one
time is called a
a.
vocational carnival.
Name:
Class:
Date:
Copyright Cengage Learning. Powered by Cognero.
Page 4
b.
job interview.
c.
job fair.
d.
cattle call.
ANSWER:
c
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.2.1 – LO: 13.2.1
18. An interview for a banking position
a.
should never discuss salary.
b.
should focus on job-related questions that help assess the candidate’s suitability for the position.
c.
is always conducted by the manager of the department in which the job is located.
d.
is generally conducted right after the orientation process.
ANSWER:
b
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.2.1 – LO: 13.2.1
19. Which of these is NOT an objective of an employee performance evaluation?
a.
to identify an employee’s interests and help set job goals
b.
to provide a written record of employee performance
c.
to recognize an employee’s special talents
d.
to verify the references and educational background an employee listed on the job application
ANSWER:
d
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.3.1 – LO: 13.3.1
20. If a good employee comes into work late for the very first time, he or she is most likely to
a.
receive a verbal or informal warning.
b.
receive a formal warning.
c.
be fired.
d.
be suspended without pay for three days.
ANSWER:
a
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.3.2 – LO: 13.3.2
21. The ____________________ department of a bank provides support services such as bookkeeping and typing.
ANSWER:
operations
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.1 – LO: 13.1.1
22. ____________________ provide operational support to the bank by keeping its financial records, either in books
(ledgers) or in computer documents.
ANSWER:
Accounting clerks
POINTS:
1
Name:
Class:
Date:
Copyright Cengage Learning. Powered by Cognero.
Page 5
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.2 – LO: 13.1.2
23. Bank ____________________ fulfill the necessary management/oversight function.
ANSWER:
officers
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.1 – LO: 13.1.1
24. A(n) ____________________ position is the most common one at a bank; these employees are likely to have the most
contact with customers.
ANSWER:
teller
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.2 – LO: 13.1.2
25. The human resources department is sometimes referred to as the ____________________ department.
ANSWER:
personnel
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.2.1 – LO: 13.2.1
26. A job ____________________ is a formal document that identifies a job, its responsibilities, the work involved, and
the education required.
ANSWER:
description
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.2.1 – LO: 13.2.1
27. ____________________-based employment involves selecting the person with the best qualifications for a specific
position.
ANSWER:
Merit
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.2.1 – LO: 13.2.1
28. The ____________________ process welcomes new employees to the bank and helps them understand its policies
and how it operates.
ANSWER:
orientation
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.2.1 – LO: 13.2.1
29. Performance ____________________ define for both supervisors and employees the expectations for completing a
job’s essential functions and tasks.
ANSWER:
standards
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.3.1 – LO: 13.3.1
30. A verbal or __________ warning is the lowest level of employee discipline; this type of warning is typically given to
an employee who commits a minor violation of company policy.
ANSWER:
informal
Name:
Class:
Date:
Copyright Cengage Learning. Powered by Cognero.
Page 6
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.3.2 – LO: 13.3.2
31. Barley’s Bakery electronically charged $1,500 of sales transactions. The credit card companies charge the bakery a 5
percent service fee. How much was deposited in Barley’s account from these credit card sales?
ANSWER:
$1,425
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.2 – LO: 13.1.2
32. Art’s Painting Supplies had $20,000 in sales for the month of December. Its credit card company charged a 4% fee on
these sales. What is the fee amount?
ANSWER:
$800
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.2 – LO: 13.1.2
33. Meredith’s Catering catered a large party for which the client paid $5,500 with a credit card. If Meredith deposited
$5,115 in her bank account from the party, what is the credit card company’s fee?
ANSWER:
7%
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.2 – LO: 13.1.2
34. The Dream Salon currently does not accept credit cards as payment for the hair and nail services it provides. The salon
had $8,000 in sales in June. If the salon had accepted a popular credit card that charged a 5% fee, it would have had
$9,000 in sales. How much more would the salon have been able to deposit it if had accepted this card?
ANSWER:
$550
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.2 – LO: 13.1.2
35. Camilla’s Beads and Gems deposited $2,304 in its account one week. All of the sales were purchased using a credit
card that had a 4% fee. What was the total sales for the week?
ANSWER:
$2,400
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.2 – LO: 13.1.2
36. The Party Store is considering accepting credit cards as payment from customers. The credit card companies charge a
3.5% fee on sales. Charge sales for the year are estimated to be $78,000. What would be the actual amount that The Party
Store would deposit in its bank account?
ANSWER:
$75,270
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.2 – LO: 13.1.2
37. Name at least four functional departments often found in a typical bank.
ANSWER:
Common functional departments include individual or personal banking, small business and
consumer lending, trust funds, brokerage, and insurance departments.
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.1 – LO: 13.1.1
Name:
Class:
Date:
Copyright Cengage Learning. Powered by Cognero.
Page 7
38. Name at least five officers often found in large banks.
ANSWER:
Large banks commonly have officers known as president, chief executive officer, chief
financial officer, chief operating officer, controller, and vice president.
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.1 – LO: 13.1.1
39. Name two characteristics especially important for bank employees.
ANSWER:
Honesty and integrity are two characteristics especially important for bank employees.
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.2 – LO: 13.1.2
40. What is telecommuting? Which bank department would be in charge of establishing a policy for telecommuting for
employees?
ANSWER:
Telecommuting allows employees to work from their homes via computer. The human
resources department would be responsible for establishing a policy for telecommuting.
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.2.1 – LO: 13.2.1
41. List in correct order the steps involved in a bank’s hiring process.
ANSWER:
The steps involved in the hiring process are advertising, reviewing applications, interviewing,
preemployment testing, verifying application information, orienting new hires, and job
training.
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.2.1 – LO: 13.2.1
42. What is an evaluation form?
ANSWER:
An evaluation form is a standardized form used to record employee assessments during
performance appraisals.
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.3.1 – LO: 13.3.1
43. Briefly describe the function of a bank’s Treasury Management department.
ANSWER:
Employees of this department manage a bank’s monetary assets/liabilities and financial risks.
They manage the bank’s cash and funds in reserves on deposit at the Federal Reserve and in
interbank loans to minimize interest expense and maximize interest income. They also place
and liquidate investments and manage foreign exchange and interest rate exposures.
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.1 – LO: 13.1.1
44. Give a brief job description of a bank’s auditor.
ANSWER:
Auditors maintain and examine a bank’s financial records to verify their accuracy. They also
look for areas of waste, mismanagement, or fraud.
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.1.2 – LO: 13.1.2
Name:
Class:
Date:
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.2.2 – LO: 13.2.2
discuss the problem with the employee, citing specific occurrences.
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.3.2 – LO: 13.3.2
ANSWER:
Students should name three of the following examples of gross misconduct:
45. Which bank department is responsible for determining employee compensation? Briefly describe some ways this
department establishes pay rates.
ANSWER:
A bank’s human resources (HR) department is responsible for determining employee
compensation. Setting pay rates could involve conducting surveys to see how the bank’s rates
compare with those of other banks. HR must also ensure that the bank’s pay scale complies
with changing laws and regulations.
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.2.1 – LO: 13.2.1
46. Name five items typically included in an employee‘s personnel file.
ANSWER:
Students’ answers should include five of the following items:
• Personal information including employee’s full name, address, telephone number,
Social Security number, and name of person to contact for emergency purposes
• Application information (resumes, references, and so on)
• Wage or salary information, including the basis on which wages are calculated
(hourly or weekly, for example), the pay rate, pay record by pay period including
overtime earnings if applicable, and all additions to or deductions from the
employee’s wages
• Job description of original and any new position as well as any changes in
responsibilities
• Education information (transcripts, certificates, credentials, training)
• Federal/state documents (forms W-4 for tax withholding, I-9 regarding immigration
and naturalization), and any later changes
• Performance evaluations, including the required documentation signed by the
employee and supervisor
• Benefits forms
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.2.2 – LO: 13.2.2
47. Identify examples of legal regulations that human resources employees should understand.
ANSWER:
They must know, for example, the types of questions they can and cannot ask during an
interview, the privacy issues concerning the employee personnel folder, and the appropriate
uses of the information in the folder.
POINTS:
1
Name:
Class:
Date:
Copyright Cengage Learning. Powered by Cognero.
Page 9
• Refusal to comply with an instruction
• Failure to follow safety rule(s)
• Theft, fraud, or deliberate damage to bank property
• Alcohol or drug intoxication on bank property
• Violent behavior or threats to coworkers, management, or customers
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.3.2 – LO: 13.3.2
50. Why is it important for an employer to follow specific procedures when disciplining an employee?
ANSWER:
Disciplinary procedures must be followed to protect the employer from charges that its
actions are either unfounded or performed improperly.
POINTS:
1
LEARNING OBJECTIVES:
BNKG.CFFT.3.LO: 13.3.2 – LO: 13.3.2