Cumulative Exam — Cumulative exam

Question 70 • EA Academy Algebra I

Which statement best describes the difference between a checking account and a savings account?

Answer

Checking accounts provide customers with interest, while savings accounts do not.

Checking accounts are held only by businesses and savings accounts only by individuals.

Checking accounts allow customers to easily pay for goods and services, while savings accounts are used to hold money for longer periods of time.

Checking accounts require customers to go into a bank branch, while savings accounts are accessed by customers on their mobile phones or computers.

Explanation

A checking account is designed for frequent transactions, such as paying bills and buying goods and services. A savings account is mainly for setting money aside and keeping it for a longer period. Checking accounts may also earn interest, so choice A does not describe the difference accurately.

AI-written and checked against the verified answer.

More from this Course

Describing Data

Cumulative Exam

Describing Data