FDIC stands for which organization?

FDIC stands for which organization?

• A. Federal Deposit Insurance Corporation
• B. Federal Deposit Institute Council
• C. Finance and Deposit Insurance Committee
• D. Federal Debt Insurance Corporation

Answer: (A)

FDIC stands for the Federal Deposit Insurance Corporation, the U.S. government agency that insures bank deposits. The words line up exactly with the acronym, where “Federal” indicates the government level, “Deposit Insurance” describes its job of protecting depositors’ funds, and “Corporation” denotes its formal organizational status. This agency plays a key role in maintaining trust in the banking system by guaranteeing depositors’ insured amounts up to a set limit. The other options don’t match the official name and describe different phrases that aren’t used for this organization, so they don’t fit the acronym as it’s recognized.

FDIC stands for the Federal Deposit Insurance Corporation, the U.S. government agency that insures bank deposits. The words line up exactly with the acronym, where “Federal” indicates the government level, “Deposit Insurance” describes its job of protecting depositors’ funds, and “Corporation” denotes its formal organizational status. This agency plays a key role in maintaining trust in the banking system by guaranteeing depositors’ insured amounts up to a set limit.

The other options don’t match the official name and describe different phrases that aren’t used for this organization, so they don’t fit the acronym as it’s recognized.