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Certified Trust and Financial Advisor (CTFA) Questions 101–105 (page: 22)

Updated On: 9-Feb-2026

is a type of insurance that protects funds on deposit against failure of the institution; can be insured by the FDIC and the NCUA.

  1. Deposit Insurance
  2. Demand deposit
  3. Time deposit
  4. Money market mutual fund

Answer(s): A



A checking account on which the financial institution pays interest; it have no legal minimum balance is called:

  1. Money market deposit account
  2. Negotiable order of withdrawal account
  3. Money market mutual funds
  4. Asset management account

Answer(s): B



Which one of the followings is a mutual fund that pools the funds of many small investors and purchases high-return, short-term marketable securities?

  1. Money market deposit account
  2. Negotiable order of withdrawal account
  3. Money market mutual funds
  4. Asset management account

Answer(s): C



It is a federally insured savings account, offered by banks and other depository institutions, that competes with money market mutual funds. What is it?

  1. Money market deposit account
  2. Negotiable order of withdrawal account
  3. Money market mutual funds
  4. Asset management account

Answer(s): A



A comprehensive deposit account, offered primarily by brokerage houses and mutual funds is a/an:

  1. Money market deposit account
  2. Negotiable order of withdrawal account
  3. Money market mutual funds
  4. Asset management account

Answer(s): D



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