Question 1

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

Accepted Answer

A)   location-based cards.
B)   dedicated cards.
C)   open-loop cards.
D)   closed-loop cards.E) B) and C)
F) A) and C)

Question 2

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

Accepted Answer

A)   e-micropayments
B)   e-minipayments
C)   automated payments
D)   contactless paymentsE) A) and D)
F) B) and D) A

Question 3

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

Accepted Answer

A)   networking operating system.
B)   mobile operating system.
C)   smart card operating system.
D)   BIOS.E) A) and B)
F) All of the above C

Question 4

Contact and proximity are two types of smart card readers.

Accepted Answer

A) True 
 B)False

Question 5

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

Accepted Answer

A) True 
 B)False

Question 6

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

Accepted Answer

A)   Bitcoin
B)   PayPal
C)   Kindle
D)   DotCoinE) A) and B)
F) B) and D)

Question 7

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

Accepted Answer

A)   cloud reader
B)   transmit reader
C)   smart card reader
D)   cube readerE) A) and B)
F) A) and C)

Question 8

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

Accepted Answer

A) True 
 B)False

Question 9

Which statement about the payment revolution is true?

Accepted Answer

A)   Cards and electronic payments are taking the place of cash and checks.
B)   Debit card use has been declining since 2003.
C)   Approximately 20 percent of recurring bills are paid electronically.
D)   By 2015, the U.S. will be a cashless society.E) A) and D)
F) A) and B)

Question 10

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

Accepted Answer

A)   letters of credit
B)   purchasing cards
C)   Fedwire, or wire transfer
D)   EDIE) B) and C)
F) A) and B)

Question 11

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

Accepted Answer

A)   contact card
B)   contactless card
C)   stored-value card
D)   closed loop cardE) C) and D)
F) A) and B)

Question 12

EIPP models include each of the following except

Accepted Answer

A)   consolidator.
B)   seller direct.
C)   buyer direct.
D)   intermediate.E) All of the above
F) B) and C)

Question 13

Mobile proximity payments involve a special mobile phone equipped with an integrated chip or smart card,a specialized reader that recognizes the chip when the chip comes within a short distance of the reader,and a network for handling the payment.

Accepted Answer

A) True 
 B)False

Question 14

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

Accepted Answer

A)   settlement.
B)   approval.
C)   authorization.
D)   procurement.E) None of the above
F) B) and D) C

Question 15

What costs do online merchants incur for fraudulent transactions?

Accepted Answer

In the online world,merchants are held l...

Question 16

Recent surveys by CyberSource indicate that fraudulent card transactions are a growing problem for online merchants in spite of their increasing efforts to combat fraud despite improved anti-fraud measures.

Accepted Answer

A) True 
 B)False

Question 17

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.

Accepted Answer

A) True 
 B)False

Question 18

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

Accepted Answer

A)   contact cards
B)   contactless cards
C)   EPROM cards
D)   EEPROM cardsE) B) and C)
F) A) and D)

Question 19

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

Accepted Answer

A) True 
 B)False

Question 20

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

Accepted Answer

A)   Acquiring banks
B)   Issuing banks
C)   Credit card associations
D)   Payment processing servicesE) None of the above
F) B) and C)

Exam 10: Electronic Commerce Payment Systems

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

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedA

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

Correct AnswerverifiedC

Contact and proximity are two types of smart card readers.

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

Which statement about the payment revolution is true?

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

EIPP models include each of the following except

Correct AnswerverifiedShow Answer

Mobile proximity payments involve a special mobile phone equipped with an integrated chip or smart card,a specialized reader that recognizes the chip when the chip comes within a short distance of the reader,and a network for handling the payment.

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedC

What costs do online merchants incur for fraudulent transactions?

Correct AnswerverifiedIn the online world,merchants are held l...View AnswerShow Answer

Recent surveys by CyberSource indicate that fraudulent card transactions are a growing problem for online merchants in spite of their increasing efforts to combat fraud despite improved anti-fraud measures.

Correct AnswerverifiedShow Answer

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.

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

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A

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C

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In the online world,merchants are held l...
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