#1
Which of the following is NOT a common type of financial transaction?
Purchase
Deposit
Conversion
Subtraction
#2
Which of the following is NOT typically involved in a credit card transaction?
Issuer
Acquirer
Clearing house
ATM network
#3
Which of the following is NOT a common type of electronic funds transfer (EFT)?
Wire transfer
Direct deposit
Mobile payment
Cash withdrawal
#4
What does the acronym POS stand for in the context of payment processing?
Point of Service
Point of Sale
Point of Security
Payment Operation System
#5
Which of the following is NOT a commonly used payment card network?
Mastercard
Visa
American Express
Bitcoin
#6
Which of the following is a common feature of P2P payment apps?
High transaction fees
Limited accessibility
Immediate fund availability
Complex user interface
#7
What does ACH stand for in the context of payment processing?
Automated Clearing House
American Currency Handling
Automated Cash Handling
Account Clearing House
#8
Which of the following is an example of a payment gateway?
Visa
PayPal
Bank of America
Federal Reserve
#9
What is the term used to describe the process of converting a physical check into an electronic payment?
Check digitization
Check truncation
Check encryption
Check validation
#10
What is the main function of a payment processor?
To authorize credit card transactions
To issue credit cards
To print checks
To audit financial statements
#11
Which of the following is a characteristic of a chargeback?
It is initiated by the merchant to refund a customer
It is a form of payment in cryptocurrency
It is a fraudulent transaction
It is initiated by the cardholder to dispute a transaction
#12
What is the purpose of a tokenization system in payment processing?
To convert physical currency into digital currency
To secure sensitive payment data by replacing it with a unique identifier
To automate the reconciliation process
To facilitate peer-to-peer transactions
#13
What is the primary function of a SWIFT code?
To identify a bank or financial institution globally
To process credit card transactions
To encrypt financial data
To monitor stock market trends
#14
What is the purpose of PCI DSS in the context of payment processing?
To ensure the security of credit card transactions
To regulate international trade
To standardize currency exchange rates
To manage bank liquidity
#15
What does the term 'float' refer to in the context of financial transactions?
The time it takes for a transaction to be processed
The balance of an account
The difference between available and actual funds
The delay between when a check is written and when it clears the account
#16
What is the primary purpose of KYC (Know Your Customer) regulations in banking?
To ensure customer satisfaction
To prevent money laundering and fraud
To promote competitive banking practices
To facilitate international trade
#17
What does the term 'chargeback ratio' refer to in payment processing?
The percentage of transactions declined by a bank
The ratio of fraudulent transactions to total transactions
The ratio of chargebacks to total transactions
The percentage of transactions approved for chargeback
#18
What is the purpose of a BIN (Bank Identification Number) in payment card processing?
To identify the issuing bank of a payment card
To encrypt cardholder data
To verify the cardholder's identity
To process international transactions