________ Allows a Consumer to Directly Transfer Funds from a Banking

question 56

Multiple Choice

________ allows a consumer to directly transfer funds from a banking account to a merchant.

• A) An electronic authorized system
• B) A direct pay system
• C) An authorized direct pay system
• D) A point-of-sale system
• E) A pay-by-electronics system

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Definitions:

Par

The face value or nominal value of a bond, stock, or other financial instrument, typically the amount on which interest payments or dividends are calculated.

Zero-Coupon Bond

A debt security that does not pay periodic interest, instead being sold at a discount and maturing at face value, generating profit at redemption.

Interest Payments

The cash outflows that a borrower makes to a lender as a compensation for the use of borrowed funds.

Premium Bond

A bond that is trading above its par value in the financial markets.