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Exam

Name___________________________________

1.

The barrier to selling books online, either hardcopy or electronic, is technical and not financial.

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 549

AACSB:

Objective:

2.

In the online world, virtually every attempt to disintermediate cash and credit cards has failed.

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 549

AACSB:

Objective:

3.

The overwhelming majority of B2C purchases are paid for by smart cards.

Answer:

True

False

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Diff: 2

Type: TF

Page Ref: 550

AACSB:

Objective:

4.

E-payment systems that require the payer to install specialized security software have proven more likely to succeed.

Answer:

True

False

Diff: 3

Type: TF

Page Ref: 551

AACSB:

Objective:

5.

The success of an e-payment method depends on its interoperability with existing enterprise systems and applications

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 551

AACSB:

Objective:

6.

To succeed, special e-payment methods, such as e-cash, have to maintain anonymity.

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Answer:

True

False

Diff: 2

Type: TF

Page Ref: 551

AACSB:

Objective:

7.

E-payment methods that can address the lower or higher end of the price continuum are unlikely to be widely accepted

because of cost and security issues.

Answer:

True

FalseDiff: 2

Type: TF

Page Ref: 551

AACSB:

Objective:

8.

In the settlement process, the systems must determine whether a buyer's card is active and whether the cardholder has

sufficient funds available for the purchase.

Answer:

True

False

Diff: 2

Type: TF

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Page Ref: 552

AACSB:

Objective:

9.

The processing of card payments has two major phases: identification and settlement.Answer:

True

False

Diff: 2

Type: TF

Page Ref: 552

AACSB:

Objective:

10.

Credit cards, charge cards, and debit cards are three forms of online payment cards.

Answer:

True

False

Diff: 1

Type: TF

Page Ref: 552

AACSB:

Objective:

11.

For a given type of payment card and processing system, the processes and participants are essentially the same for offl

(card present) and online (card not present) purchases.

Answer:

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True

False

Diff: 2

Type: TF

Page Ref: 553AACSB:

Objective:

12.

In the online world, merchants are not held liable for fraudulent transactions.

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 554

AACSB:

Objective:

13.

Recent surveys by CyberSource indicate that fraudulent card transactions are a growing problem for online merchants

spite of their increasing efforts to combat fraud despite improved anti-fraud measures.

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 554

AACSB:

Objective:

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14.

Because of their visibility and large sales volumes, larger firms are more susceptible to fraud than medium-sized firms.

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 555

AACSB:

Objective:

15.

One problem with the Address Verification System (AVS) for fraud prevention is the number of false positives, meaning

that the merchant rejects a valid order. One reason for these rejects is simply that cardholders make mistakes in inputtin

their addresses or zip codes.

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 555

AACSB:

Objective:

16.

Card verification number (CVN) methods are useless against a fraudster who possesses the stolen credit cards.

Answer:

True

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False

Diff: 2

Type: TF

Page Ref: 555

AACSB:

Objective:

17.

Over 80 percent of all merchants use the manual review method, which relies on staff to manually review suspicious

orders.

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 555

AACSB:

Objective:

18.

Thirty-eight percent of all merchants use negative lists, which are files that include a customer's information and the

status of that customer. A customer's transaction is matched against these files and flagged if the customer is a known

problem.

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 556

AACSB:

Objective:

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19.

Technically speaking, a smart card reader is actually a read/write device. The primary purpose of the smart card reade

to act as a mediator between the card and the host system that stores application data and processes transactions.

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 557

AACSB:

Objective:

20.

Contact and proximity are two types of smart card readers.

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 557

AACSB:

Objective:

21.

Most contact cards are EPROM.

Answer:

True

False

Diff: 2

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Type: TF

Page Ref: 557

AACSB:

Objective:

22.

In most cases, smart cards are more secure than credit cards and can be extended with other payment services. In the

retail arena, many of these services are aimed at those establishments where payments are usually made in cash and

speed and convenience are important.

Answer:

True

False Diff: 2

Type: TF

Page Ref: 558

AACSB:

Objective:

23.

One benefit of smart cards versus standard cards is that they are more secure.

Answer:

True

False

Diff: 1

Type: TF

Page Ref: 558

AACSB:

Objective:

24.

Regardless of the vendor's point of view, there is substantial evidence that consumers are not willing to use their credit

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debit cards for micropayments under $5.

Answer:

True

False

Diff: 3

Type: TF

Page Ref: 561

AACSB:

Objective:

25.

With the stored value micropayment model, up-front payments are made to a debit account from which purchases are

deducted as they are made.

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 562

AACSB:

Objective:

26.

An e-check is a legally valid electronic version or representation of a paper check.

Answer:

True

False

Diff: 1

Type: TF

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Page Ref: 562

AACSB:

Objective:

27.

The Purchase Order Processing NACHA system does not require specialized readers for each checkout counter.Answer:

True

False

Diff: 3

Type: TF

Page Ref: 563

AACSB:

Objective:

28.

E-checks cannot be used with in-person purchases.

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 563

AACSB:

Objective:

29.

Mobile payment refers to payment transactions initiated or confirmed using a person's desktop computer.

Answer:

True

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False

Diff: 2

Type: TF

Page Ref: 565

AACSB:

Objective:

30.

Mobile proximity payments involve a special mobile phone equipped with an integrated chip or smart card, a specializ

reader that recognizes the chip when the chip comes within a short distance of the reader, and a network for handling t

payment.

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 566

AACSB:

Objective:

31.

The information divide is the gap between people with effective access to digital and information technology and those

without.

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 567

AACSB:

Objective:

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32.

Companies such as Walmart are likely to use the Seller Direct EIPP model.

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 570

AACSB:

Objective:

33.

The consolidator EIPP model links one seller to many buyers.

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 570

AACSB:

Objective:

34.

Cash Concentration or Disbursement (CCD) is a type of ACH entry for B2B transactions.

Answer:

True

False

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Diff: 2

Type: TF

Page Ref: 571

AACSB:

Objective:

35.

With letters of credit, credit risk is reduced because payment is accessed via the credit worthiness of the issuing bank.

Answer:

True

False

Diff: 2

Type: TF

Page Ref: 572

AACSB:

Objective:

36.

Which statement about the payment revolution is true?

A)

Debit card use has been declining since 2003.

B)

Cards and electronic payments are taking the place of cash and checks.

C)

Approximately 20 percent of recurring bills are paid electronically.

D)

By 2015, the U.S. will be a cashless society.

Answer:

BDiff: 1

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Type: MC

Page Ref: 550

AACSB:

Objective:

37.

Which of the following is a peer-to-peer encrypted digital currency created in 2009 by Satoshi Nakamoto?

A)

PayPal

B)

DotCoin

C)

Kindle

D)

Bitcoin

Answer:

D

Diff: 3

Type: MC

Page Ref: 551

AACSB:

Objective:

38.

Factors that come into play in determining whether a particular method of e-payment achieves critical mass include ea

of the followingexceptA)

dependence.

B)

ease of use.

C)

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regulations.

D)

divisibility.

Answer:

A

Diff: 3

Type: MC

Page Ref: 551-552

AACSB:

Objective:

39.

The process of determining whether a card is active and whether the customer has sufficient funds for the purchase is

called

A)

procurement.

B)

approval.

C)

settlement.

D)

authorization.

Answer:

D

Diff: 1

Type: MC

Page Ref: 552

AACSB: Use of information technology

Objective:

40.

An electronic card that contains information that can be used for payment purposes best describes

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A)

host card.

B)

pocket card.

C)

funds card.

D)

payment card.

Answer:

D

Diff: 1

Type: MC

Page Ref: 552

AACSB:

Objective:

41.

Forms of payment cards include each of the followingexcept

A)

credit cards.

B)

purchase cards.

C)

debit cards.

D)

charge cards.

Answer:

B

Diff: 1

Type: MC

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Page Ref: 552

AACSB:

Objective:

42.

Which of the following is an example of a charge card?

A)

MasterCard

B)

Visa

C)

Diner's Club card

D)

EuroPay

Answer:

C

Diff: 2

Type: MC

Page Ref: 552

AACSB:

Objective:

43.

Basic configurations for processing online payments include each of the followingexcept

A)

contracting with an online cash checking company.

B)

using a POS operated by an acquirer.

C)

using a POS operated by a payment service provider.

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D)

owning the payment software.

Answer:

A

Diff: 3

Type: MC

Page Ref: 553

AACSB:

Objective:

44.

A(n) ________ is a third-party service connecting a merchant's EC system to the appropriate acquiring bank or financia

institution.

A)

payment service provider (PSP)

B)

application service provider (ASP)

C)

credit service provider (CSP)

D)

Internet service provider (ISP)

Answer:

A

Diff: 2

Type: MC

Page Ref: 553

AACSB:

Objective:

45.

Which of the following participants in the online card payment process is the data center that processes card transactio

and settles funds to merchants?

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A)

acquiring bank

B)

customer

C)

merchant

D)

processor

Answer:

D

Diff: 2

Type: MC

Page Ref: 554

AACSB:

Objective:

46.

Which of the following participants in the online card payment process is the financial institution that provides card

services to banks?

A)

credit card association

B)

acquiring bank

C)

processor

D)

issuing bank

Answer:

A

Diff: 2

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Type: MC

Page Ref: 554

AACSB:

Objective:

47.

According to a CyberSource survey, online revenue losses due to fraud in 2010 were

A)

$2.7 billion.

B)

$150 million.

C)

$9 billion.

D)

$5.5 billion.

Answer:

A

Diff: 3

Type: MC

Page Ref: 554

AACSB:

Objective:

48.

________ offer Internet Merchant Accounts, which are special accounts for credit card authorization and payment

processing.A)

Payment processing services

B)

Acquiring banks

C)

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Credit card associations

D)

Issuing banks

Answer:

B

Diff: 3

Type: MC

Page Ref: 554


Objective:

49.

Approximately 80 percent of merchants use the Address Verification System, which results in a number of ________,

meaning that the merchant may reject a valid order.

A)

false positives

B)

positive verifications

C)

suspicious hits

D)

false negatives

Answer:

A

Diff: 3

Type: MC

Page Ref: 555

AACSB:

Objective:

50.

In 2010, the median number of fraud detection tools used by merchants was

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A)

7.3.

B)

10.7.

C)

2.9.

D)

4.6.

Answer:

D

Diff: 3

Type: MC

Page Ref: 555

AACSB:

Objective:

51.

Key tools used in combating online fraud include

A)

address verification.

B)

manual reviews.

C)

negative lists.

D)

all of the above.

Answer:

D

Diff: 1

Type: MC

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Page Ref: 555-556

AACSB:

Objective:

52.

Which of the following is an online fraud detection tool that matches a customer's transaction against a file containing

customer information that is flagged if the customer is a known problem?

A)

boycott list

B)

negative list

C)

compliance list

D)

profile list

Answer:

B

Diff: 1

Type: MC

Page Ref: 556

AACSB:

Objective:

53.

An electronic card containing an embedded microchip that enables predefined operations or the addition, deletion, or

manipulation of information on the card best definesA)

secure card.

B)

smart card.

C)

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EPROM card.

D)

pocket card.

Answer:

B

Diff: 1

Type: MC

Page Ref: 556

AACSB:

Objective:

54.

A special system that handles file management, security, input/output, and command execution and provides an

application programming interface for a smart card best defines

A)

mobile operating system.

B)

networking operating system.

C)

BIOS.

D)

smart card operating system.

Answer:

D

Diff: 1

Type: MC

Page Ref: 557

AACSB:

Objective:

55.

________ are used for applications in which the data must be processed very quickly (e.g., mass-transit applications, su

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as paying bus or train fares) or when contact is difficult (e.g., security-entering mechanisms to buildings).

A)

RFID cards

B)

Contact cards

C)

Contactless cards

D)

EEPROM cards

Answer:

C

Diff: 2

Type: MC

Page Ref: 557

AACSB:

Objective:

56.

Which of the following activates and reads the contents of the chip on a smart card, usually passing the information on

a host system?

A)

smart card reader

B)

cube reader

C)

transmit reader

D)

cloud reader

Answer:

ADiff: 1

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Type: MC

Page Ref: 557

AACSB:

Objective:

57.

A(n) ________ has two separate chips embedded in the card (contact and contactless), which eliminates the need to carr

multiple cards to support the various smart card readers and applications.

A)

dual-interface smart card

B)

hybrid smart card

C)

RFID card

D)

multi-debit card

Answer:

B

Diff: 2

Type: MC

Page Ref: 557


Objective:

58.

Smart cards that have erasable memory and are modifiable best describeA)

EPROM cards.

B)

contactless cards.

C)

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EEPROM cards.

D)

contact cards.

Answer:

C

Diff: 2

Type: MC

Page Ref: 557

AACSB:

Objective:

59.

The largest demand for smart cards continues to come from

A)

Europe.

B)

South America.

C)

North America.

D)

the Asia-Pacific region.

Answer:

D

Diff: 2

Type: MC

Page Ref: 557

AACSB:

Objective:

60.

If someone steals a smart card, the thief is usually out of luck, with the major exception of ________ used for retail

purchases.

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A)

EPROM cards

B)

contactless cards

C)

contact cards

D)

EEPROM cards

Answer:

B

Diff: 2

Type: MC

Page Ref: 558

AACSB:

Objective:

61.

The overall implementation and use of contactless payment cards has been

A)

declining.

B)

steady.

C)

rapid.

D)

slow.

Answer:

D

Diff: 2

Type: MC

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Page Ref: 558

AACSB:

Objective:

62.

Which of the following is the initiative where all EU banks agreed to use the same basic bank card standard, enabling t

use of credit and debit cards throughout the EU?

A)

SEPA

B)

EUMI

C)

EPROM

D)

MCI

Answer:

A

Diff: 2

Type: MC

Page Ref: 558

AACSB:

Objective:

63.

A ________ is a card that has monetary value loaded onto it and is usually rechargeable.

A)

contactless card

B)

contact card

C)

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stored-value card

D)

closed loop card

Answer:

C

Diff: 2

Type: MC

Page Ref: 559

AACSB:

Objective:

64.

Single-purpose cards issued by a specific merchant or merchant group that can only be used to make purchases from th

merchant or merchant group best describes

A)

dedicated cards.

B)

closed-loop cards.

C)

location-based cards.

D)

open-loop cards.

Answer:

B

Diff: 2

Type: MC

Page Ref: 559

AACSB:

Objective:

65.

Payroll cards, government benefit cards, and prepaid debit cards are examples of ________ cards.

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A)

EEPROM

B)

closed-loop

C)

contactless

D)

open-loop

Answer:

D

Diff: 2

Type: MC

Page Ref: 560

AACSB:

Objective:

66.

Small online payments, typically under $10, are referred to as ________.

A)

e-minipayments

B)

contactless payments

C)

automated payments

D)

e-micropayments

Answer:

D

Diff: 2

Type: MC

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Page Ref: 561

AACSB:

Objective:

67.

The basic micropayment model where micropayments are added to a monthly bill for existing services best describes

A)

stored value.

B)

direct payment.

C)

subscriptions.

D)

aggregation.

Answer:

B

Diff: 2

Type: MC

Page Ref: 561

AACSB:

Objective:

68.

Basic micropayment models include each of the followingexcept

A)

stored value.

B)

subscriptions.

C)

wholesale.

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D)

direct payment.

Answer:

C

Diff: 3

Type: MC

Page Ref: 561-562

AACSB:

Objective:

69.

Which of the following is the NACHA system where checks are collected at checkout counters and later converted into

checks?

A)

NOS

B)

EPROM

C)

BOC

D)

POP

Answer:

C

Diff: 3

Type: MC

Page Ref: 563

AACSB:

Objective:

70.

The nationwide batch-oriented electronic funds transfer system that provides for interbank clearing of electronic

payments for participating financial institutions is called the

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A)

E-bill Presentment and Payment Network.

B)

Automated Clearing House Network.

C)

Receiving Depository Financial Institution.

D)

Federal Reserve System.

Answer:

B

Diff: 2

Type: MC

Page Ref: 564


Objective:

71.

E-check processing benefits include

A)

improving the efficiency of the deposit process for merchants and financial institutions.

B)

speeding the checkout process for consumers.

C)

reducing the float period and the number of checks that bounce because of insufficient funds.

D)

all of the above.

Answer:

D

Diff: 1

Type: MC

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Page Ref: 565

AACSB:

Objective:

72.

Types of mobile payments include each of the followingexcept

A)

mobile proximity payments.

B)

remote payments.

C)

EIPP payments.

D)

POS payments.

Answer:

C

Diff: 3

Type: MC

Page Ref: 565

AACSB:

Objective:

73.

The provision of financial services, in small amounts of money, to poor or low-income clients, including consumers and

the self-employed best describes

A)

low-risk mobile investments.

B)

peer-to-peer loans.

C)

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microfinance.

D)

microloans.

Answer:

C

Diff: 2

Type: MC

Page Ref: 567

AACSB:

Objective:

74.

Unlike the physical supply chain, inefficiencies characterize the financial supply chains of most companies. Factors that

create these inefficiencies include each of the followingexcept

A)

the time required to create, transfer, and process paper documentation.

B)

too much transparency in inventory and cash positions when goods are in the supply chain.

C)

disputes arising from inaccurate or missing data.

D)

the cost and errors associated with manual creation and reconciliation of documentation.

Answer:

B

Diff: 3

Type: MC

Page Ref: 569


Objective:

75.

Presenting and paying B2B invoices online best defines

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A)

ACH.

B)

EIPP.

C)

POP.

D)

NOC.

Answer:

B

Diff: 2

Type: MC

Page Ref: 569

AACSB:

Objective:

76.

EIPP models include each of the followingexcept

A)

intermediate.

B)

consolidator.

C)

seller direct.

D)

buyer direct.

Answer:

A

Diff: 3

Type: MC

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Page Ref: 570

AACSB:

Objective:

77.

Among the forms of online B2B payments, the use of ________ is second only to ACH in terms of frequency of use.

A)

EDI

B)

purchasing cards

C)

Fedwire, or wire transfer

D)

letters of credit

Answer:

C

Diff: 2

Type: MC

Page Ref: 571


Objective:

78.

Special-purpose payment cards issued to a company's employees to be used solely for purchasing nonstrategic materia

and services up to a preset dollar limit best defines

A)

purchasing cards.

B)

desk cards.

C)

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smart cards.

D)

mobile cards.

Answer:

A

Diff: 2

Type: MC

Page Ref: 571

AACSB:

Objective:

79.

In global trade, a ________ is a written agreement by a bank to pay the seller, on account of the buyer, a sum of money

upon presentation of certain documents.

A)

bank check

B)

letter of credit

C)

trade card payment

D)

micropayment

Answer:

B

Diff: 2

Type: MC

Page Ref: 571


Objective:

80.

For sellers the main benefit of a letter of credit (L/C) is

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A)

greater customer loyalty.

B)

reduced risk because the bank assures the creditworthiness of the buyer.

C)

improved buyer satisfaction.

D)

reduced risk because the bank assumes the costs.

Answer:

B

Diff: 2

Type: MC

Page Ref: 572


Objective:

81.

Identify five of the nine crucial factors that come into play in determining whether a particular method of e-payment

successfully achieves critical mass.

Answer:

Independence; interoperability and portability; security; anonymity; divisibility; ease of use; transaction fees; internatio

support; and regulations were mentioned in the textbook.

Diff: 2

Type: ES

Page Ref: 551-552

AACSB:

Objective:

82.

What costs do online merchants incur for fraudulent transactions?

Answer:

In the online world, merchants are held liable for fraudulent transactions. In addition to the lost merchandise and

shipping charges, merchants who accept fraudulent transactions can incur additional fees and penalties imposed by the

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card associations. However, these are not the only costs. There also are the costs associated with combating fraudulent

transactions. These include the costs of tools and systems to review orders, the costs of manually reviewing orders, and

the revenue that is lost from rejecting orders that are valid.

Diff: 2

Type: ES

Page Ref: 554

AACSB:

Objective:

83.

Define address verification system. What is one disadvantage of the Address Verification System (AVS)?

Answer:

The address verification system detects fraud by comparing the address entered on a Web page with the address

information on file with the cardholder's issuing bank. This method results in a number of false positives, meaning tha

the merchant may reject a valid order. Also, cardholders often have new addresses or simply make mistakes in inputtin

numeric street addresses or zip codes.

Diff: 2

Type: ES

Page Ref: 555

AACSB:

Objective:

84.

How do B2B electronic payments and billing systems differ from B2C electronic payments?

Answer:

B2B payments usually are much larger and significantly more complex than the payments made by individual consum

The dollar values often are in the hundreds of thousands, the purchases and payments involve multiple items and

shipments, and the exchanges are much more likely to engender disputes that require significant work to resolve. Simp

e-billing or EBPP systems lack the rigor and security to handle these B2B situations. B2B payments are part of a much

larger financial supply chain that includes procurement, contract administration, fulfillment, financing, insurance, cred

ratings, shipment validation, order matching, payment authorization, remittance matching, and general ledgeraccounting.

Diff: 2

Type: ES

Page Ref: 569

AACSB:

Objective:

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85.

Describe smart cards, stored-value cards, and e-checks.

Answer:

A smart card is an electronic card that contains an embedded microchip that enables predefined operations or the

addition, deletion, or manipulation of information on the card. A stored-value card is a card that has monetary value

loaded onto it and is usually rechargeable. An e-check is a legally valid electronic version or representation of a paper

check.

Diff: 2

Type: ES

Page Ref: 556, 559, 562

AACSB:

Objective:

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1.

FALSE

2.

TRUE

3.

FALSE

4.

FALSE

5.

TRUE

6.

TRUE

7.

FALSE

8.

FALSE

9.

FALSE

10.

TRUE

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11.

TRUE

12.

FALSE

13.

TRUE

14.

FALSE

15.

TRUE

16.

TRUE

17.

FALSE

18.

TRUE

19.

TRUE

20.

TRUE

21.

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FALSE

22.

TRUE

23.

TRUE

24.

FALSE

25.

TRUE

26.

TRUE

27.

FALSE

28.

FALSE

29.

FALSE

30.

TRUE

31.

FALSE

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32.

FALSE

33.

FALSE

34.

TRUE

35.

TRUE

36.

B

37.

D

38.

A

39.

D

40.

D

41.

B

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42.

C

43.

A

44.

A

45.

D

46.

A

47.

A

48.

B

49.

A

50.

D

51.

D

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52.

B

53.

B

54.

D

55.

C

56.

A

57.

B

58.

C

59.

D

60.

B

61.

D

62.

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A

63.

C

64.

B

65.

D

66.

D

67.

B

68.

C

69.

C

70.

B

71.

D

72.

C

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73.

C

74.

B

75.

B

76.

A

77.

C

78.

A

79.

B

80.

B

81.

Independence; interoperability and portability; security; anonymity; divisibility; ease of use; transaction fees; internatio

support; and regulations were mentioned in the textbook.

82.

In the online world, merchants are held liable for fraudulent transactions. In addition to the lost merchandise and

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shipping charges, merchants who accept fraudulent transactions can incur additional fees and penalties imposed by the

card associations. However, these are not the only costs. There also are the costs associated with combating fraudulent

transactions. These include the costs of tools and systems to review orders, the costs of manually reviewing orders, and

the revenue that is lost from rejecting orders that are valid.

83.

The address verification system detects fraud by comparing the address entered on a Web page with the addressinformation on file with the cardholder's issuing bank. This method results in a number of false positives, meaning tha

the merchant may reject a valid order. Also, cardholders often have new addresses or simply make mistakes in inputtin

numeric street addresses or zip codes.

84.

B2B payments usually are much larger and significantly more complex than the payments made by individual consum

The dollar values often are in the hundreds of thousands, the purchases and payments involve multiple items and

shipments, and the exchanges are much more likely to engender disputes that require significant work to resolve. Simp

e-billing or EBPP systems lack the rigor and security to handle these B2B situations. B2B payments are part of a muchlarger financial supply chain that includes procurement, contract administration, fulfillment, financing, insurance, cred

ratings, shipment validation, order matching, payment authorization, remittance matching, and general ledger

accounting.

85.

A smart card is an electronic card that contains an embedded microchip that enables predefined operations or the

addition, deletion, or manipulation of information on the card. A stored-value card is a card that has monetary value

loaded onto it and is usually rechargeable. An e-check is a legally valid electronic version or representation of a paper

check.

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TIF_9780273761389_10