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Banking 2
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You take $40.00 from you account at an ATM machine to have money for lunch with friends. Do you add or subtract $40.00 from your account balance?
Subtract. Taking money out of your account is a withdrawal.
True or False: We need to know how much money is in our account so that we don't run out of money for the things we need.
True
What is a withdrawal?
Money goes out of your account to pay bills or another reason such as you need cash for your wallet.
What is a deposit?
Money goes into your a account.
Your $12.00 monthly payment for Netflix is automatically deducted from you account. Will you add or subtract $12.00 from your balance?
Subtract. An automatic deduction takes money out of your account.
The balance in your account is $800.00. Next, you pay $100.00 tuition for your college class. What is your new balance?
$700.00. $800.00 - $100.00 = $700.00
You need to pay your rent of $500.00 today. The balance in your account is $900.00. Do you have enough money to pay the rent today?
Yes.
You put $200.00 you got as a birthday gift into your bank account. Do you add or subtract the $200.00 from the balance.
Add. This is a deposit and deposits add more money to your account.
You pay your $50.00 cell phone bill online. Will add or subtract $50.00 from your account?
Subtract (It is a withdrawal when you pay a bill, money leaves your account)
Your paycheck of $200.00 is automatically deposited into your account. Do you add or subtract $200.00 from the balance?
Add (deposits are added to your account)
You pay $160.00 for your utility bill. Will add or subtract $160 from your account?
Subtract (it is a withdrawal)
Your current balance is $100. You deposit $50 in your account. What is your balance now?
$150.00
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