Question 1

It is against the law to charge a higher interest rate to individuals with poor credit.

Accepted Answer

A) True 
 B)False

Question 2

_____ can erode the value of money over time.

Accepted Answer

A) Deflation 
B) Inflation 
C) Interest 
D) Poor economic times 
A) Deflation 
B) Inflation 
C) Interest 
D) Poor economic times

Question 3

In a subprime mortgage,the interest rate remains the same regardless of changes in market interest rates.

Accepted Answer

A) True 
 B)False

Question 4

Finance concerns the flow of money from one place to another.

Accepted Answer

A) True 
 B)False

Question 5

In addition to the itemized lists of inflows and outflows,there are three other columns in the budget.They are _____.

Accepted Answer

A) cash in,cash out,change in cash 
B) assets,liabilities and net worth 
C) revenues,expenditures and net income 
D) budget,actual and variance 
A) cash in,cash out,change in cash 
B) assets,liabilities and net worth 
C) revenues,expenditures and net income 
D) budget,actual and variance

Question 6

There are four main steps in financial planning that everyone should follow.

Accepted Answer

A) True 
 B)False

Question 7

An income statement shows where your money has come from and where it's slated to go.

Accepted Answer

A) True 
 B)False

Question 8

It is required by law that employer-sponsored health insurance plans cover the employee,the employee's spouse and their children.

Accepted Answer

A) True 
 B)False

Question 9

When you obtain a free credit report,it will contain your FICO score.

Accepted Answer

A) True 
 B)False

Question 10

For every dollar that you spend on your college education,you can expect to earn about _______ during the course of your life.

Accepted Answer

A) $100 
B) $3 
C) $500 
D) $35 
A) $100 
B) $3 
C) $500 
D) $35

Question 11

In order to get a handle on your finances and begin to get out of debt,financial planners suggest you do the following for one week:

Accepted Answer

A) pay only the minimum balance due on your credit cards. 
B) count up your ATM fees. 
C) cash your paycheck rather than putting it in the bank. 
D) sell your textbook. 
A) pay only the minimum balance due on your credit cards. 
B) count up your ATM fees. 
C) cash your paycheck rather than putting it in the bank. 
D) sell your textbook.

Question 12

Your FICO score will be _____.

Accepted Answer

A) average if it is in the 600-700 point range. 
B) lower if you pay more than the minimum balance due on your credit cards 
C) higher if you recently applied for several loans 
D) lower if you have borrowed from a mix of lenders 
A) average if it is in the 600-700 point range. 
B) lower if you pay more than the minimum balance due on your credit cards 
C) higher if you recently applied for several loans 
D) lower if you have borrowed from a mix of lenders

Question 13

Most employer-sponsored health insurance plans include dental and eye coverage.

Accepted Answer

A) True 
 B)False

Question 14

A(n)_____ is a form of retirement savings plan in which the employee contributes money each pay period to his or her retirement account and the employer matches a portion of the contribution.

Accepted Answer

A) defined benefit plan 
B) open enrollment plan 
C) cafeteria plan 
D) defined contribution plan 
A) defined benefit plan 
B) open enrollment plan 
C) cafeteria plan 
D) defined contribution plan

Question 15

A good way to approach your financial goals is by dividing them into three time frames:

Accepted Answer

A) short-term (less than 2 years),intermediate?term (2-5 years),and long?term (more than 5 years). 
B) short-run (within the next 12 months),moderate (1-2 years),and long-run (more than 2 years). 
C) one-year,two-year,three or more years. 
D) moderate,intermediary,long-term. 
A) short-term (less than 2 years),intermediate?term (2-5 years),and long?term (more than 5 years). 
B) short-run (within the next 12 months),moderate (1-2 years),and long-run (more than 2 years). 
C) one-year,two-year,three or more years. 
D) moderate,intermediary,long-term.

Question 16

Disability insurance pays an income to an insured person when he or she is unable to work for a few days.

Accepted Answer

A) True 
 B)False

Question 17

Which of the following is not true about subprime loans?

Accepted Answer

A) They are generally issued at an adjustable rate. 
B) They are made to borrowers who don't qualify for market-set rates. 
C) They charge a higher interest rate than other mortgages. 
D) They are issued at a rate below prime. 
A) They are generally issued at an adjustable rate. 
B) They are made to borrowers who don't qualify for market-set rates. 
C) They charge a higher interest rate than other mortgages. 
D) They are issued at a rate below prime.

Question 18

In compiling your credit score,the credit bureaus considers all of the following except_____.

Accepted Answer

A) payment history 
B) total amount owed 
C) length of your credit history 
D) income 
A) payment history 
B) total amount owed 
C) length of your credit history 
D) income

Question 19

Patricia Greene has just set some short-term goals.These goals should be all of the following except _____.

Accepted Answer

A) for a definite time frame 
B) realistic 
C) very difficult to achieve 
D) measurable 
A) for a definite time frame 
B) realistic 
C) very difficult to achieve 
D) measurable

Question 20

Stage 1 of an individual's financial plan should focus on preserving wealth.

Accepted Answer

A) True 
 B)False

It is against the law to charge a higher interest rate to individuals with poor credit.

_____ can erode the value of money over time.

In a subprime mortgage,the interest rate remains the same regardless of changes in market interest rates.

Finance concerns the flow of money from one place to another.

In addition to the itemized lists of inflows and outflows,there are three other columns in the budget.They are _____.

There are four main steps in financial planning that everyone should follow.

An income statement shows where your money has come from and where it's slated to go.

It is required by law that employer-sponsored health insurance plans cover the employee,the employee's spouse and their children.

When you obtain a free credit report,it will contain your FICO score.

For every dollar that you spend on your college education,you can expect to earn about _______ during the course of your life.

In order to get a handle on your finances and begin to get out of debt,financial planners suggest you do the following for one week:

Your FICO score will be _____.

Most employer-sponsored health insurance plans include dental and eye coverage.

A(n)_____ is a form of retirement savings plan in which the employee contributes money each pay period to his or her retirement account and the employer matches a portion of the contribution.

A good way to approach your financial goals is by dividing them into three time frames:

Disability insurance pays an income to an insured person when he or she is unable to work for a few days.

Which of the following is not true about subprime loans?

In compiling your credit score,the credit bureaus considers all of the following except_____.

Patricia Greene has just set some short-term goals.These goals should be all of the following except _____.

Stage 1 of an individual's financial plan should focus on preserving wealth.

The Foundations of Business

Entrepreneurship

Selecting a Form of Business Ownership

Business Ethics and Social Responsibility

Managing for Business Success

Recruiting, Motivating, and Keeping Quality Employees

Product Design and Development

Operations Management in Manufacturing and Service Industries

Business in a Global Environment

Marketing: Providing Value to Customers

Operating in a Digital Marketing and Social Networking

The Role of Accounting in Business

Managing Financial Resources

Teamwork and Communications

Managing Information and Technology

The Legal and Regulatory Environment of Business

Filters

Exam 15: Personal Finances

It is against the law to charge a higher interest rate to individuals with poor credit.

_____ can erode the value of money over time.

In a subprime mortgage,the interest rate remains the same regardless of changes in market interest rates.

Finance concerns the flow of money from one place to another.

In addition to the itemized lists of inflows and outflows,there are three other columns in the budget.They are _____.

There are four main steps in financial planning that everyone should follow.

An income statement shows where your money has come from and where it's slated to go.

It is required by law that employer-sponsored health insurance plans cover the employee,the employee's spouse and their children.

When you obtain a free credit report,it will contain your FICO score.

For every dollar that you spend on your college education,you can expect to earn about _______ during the course of your life.

In order to get a handle on your finances and begin to get out of debt,financial planners suggest you do the following for one week:

Your FICO score will be _____.

Most employer-sponsored health insurance plans include dental and eye coverage.

A(n)_____ is a form of retirement savings plan in which the employee contributes money each pay period to his or her retirement account and the employer matches a portion of the contribution.

A good way to approach your financial goals is by dividing them into three time frames:

Disability insurance pays an income to an insured person when he or she is unable to work for a few days.

Which of the following is not true about subprime loans?

In compiling your credit score,the credit bureaus considers all of the following except_____.

Patricia Greene has just set some short-term goals.These goals should be all of the following except _____.

Stage 1 of an individual's financial plan should focus on preserving wealth.

The Foundations of Business

Entrepreneurship

Selecting a Form of Business Ownership

Business Ethics and Social Responsibility

Managing for Business Success

Recruiting, Motivating, and Keeping Quality Employees

Product Design and Development

Operations Management in Manufacturing and Service Industries

Business in a Global Environment

Marketing: Providing Value to Customers

Operating in a Digital Marketing and Social Networking

The Role of Accounting in Business

Managing Financial Resources

Teamwork and Communications

Managing Information and Technology

The Legal and Regulatory Environment of Business

Filters