Question 1

Risk is the possibility that cash flows will be variable.

Accepted Answer

A) True 
 B)False

Question 2

A goal that you expect to achieve in 2 to 5 years is a(n)_____.

Accepted Answer

A) short-term goal 
B) generally unachievable 
C) intermediate-term goal 
D) long-term goal 
A) short-term goal 
B) generally unachievable 
C) intermediate-term goal 
D) long-term goal

Question 3

If you are unable to pay your debts,the best thing to do is to change your phone number to avoid collection calls.

Accepted Answer

A) True 
 B)False

Question 4

Money market accounts are considered liquid assets because they can be easily accessed to get cash.

Accepted Answer

A) True 
 B)False

Question 5

If your credit score has been damaged,what can you do to improve it?

Accepted Answer

A) It cannot be repaired 
B) It is easy to repair 
C) Pay more than the minimum balance due on your credit cards 
D) Get credit in another name 
A) It cannot be repaired 
B) It is easy to repair 
C) Pay more than the minimum balance due on your credit cards 
D) Get credit in another name

Question 6

The purpose of interest is to cover the cost of lost opportunity.

Accepted Answer

A) True 
 B)False

Question 7

A defined benefit plan allows a specified amount of pretax dollars to be used to pay for qualified expenses,including health care and childcare.

Accepted Answer

A) True 
 B)False

Question 8

Generally,financial needs peak somewhere in stage 2,at approximately age fifty-five,or ten years before typical retirement age.

Accepted Answer

A) True 
 B)False

Question 9

A big advantage of a credit card is that:

Accepted Answer

A) it helps you build credit. 
B) if you miss a payment,you will get a grace period. 
C) you can get unlimited cash advances for any amount. 
D) the annual fee is lower than for a debit card. 
A) it helps you build credit. 
B) if you miss a payment,you will get a grace period. 
C) you can get unlimited cash advances for any amount. 
D) the annual fee is lower than for a debit card.

Question 10

FICO stands for Fair Isaac Company-the company that developed the credit score.

Accepted Answer

A) True 
 B)False

Question 11

What is the best way to get a copy of your credit report?

Accepted Answer

A) Ask someone at your bank 
B) Ask your credit card company 
C) Go online and request a free copy 
D) Buy a copy from one of the three credit report agencies. 
A) Ask someone at your bank 
B) Ask your credit card company 
C) Go online and request a free copy 
D) Buy a copy from one of the three credit report agencies.

Question 12

After writing your résumé and cover letter,the next step is to:

Accepted Answer

A) create a list of companies you would like to work for. 
B) practice interview skills. 
C) buy clothes for an interview. 
D) network with friends and family. 
A) create a list of companies you would like to work for. 
B) practice interview skills. 
C) buy clothes for an interview. 
D) network with friends and family.

Question 13

Which of the following is not true about credit card costs?

Accepted Answer

A) You can avoid annual fees by shopping around but the tradeoff for no annual fee might be a higher interest rate. 
B) Over-limit fees are charged whenever you exceed your credit line. 
C) 6% of late-payment fees are incurred by college students. 
D) Cash advance fees are often about 1% of the amount borrowed. 
A) You can avoid annual fees by shopping around but the tradeoff for no annual fee might be a higher interest rate. 
B) Over-limit fees are charged whenever you exceed your credit line. 
C) 6% of late-payment fees are incurred by college students. 
D) Cash advance fees are often about 1% of the amount borrowed.

Question 14

People who graduate from college can expect to generate _____ more annual income each year than those earning only a high school diploma.

Accepted Answer

A) $33,000 
B) $17,500 
C) $5,000 
D) $10,000 
A) $33,000 
B) $17,500 
C) $5,000 
D) $10,000

Question 15

Individuals with high FICO scores are likely to have to pay higher interest rates,if they can get a loan at all.

Accepted Answer

A) True 
 B)False

Question 16

About 90% of young people with college degrees indicate that their education has already paid off or will pay off in the future.

Accepted Answer

A) True 
 B)False

Question 17

Your personal liabilities are your obligations to various creditors.

Accepted Answer

A) True 
 B)False

Question 18

Fannie Mae and Freddie Mac:

Accepted Answer

A) are cousins in the financial world. 
B) are publicly traded,government sponsored organizations. 
C) are authorized to revoke loans made by banks and mortgage companies. 
D) make sure that lenders stay within certain limits when lending to prospective home buyers. 
A) are cousins in the financial world. 
B) are publicly traded,government sponsored organizations. 
C) are authorized to revoke loans made by banks and mortgage companies. 
D) make sure that lenders stay within certain limits when lending to prospective home buyers.

Question 19

What is the bottom line of a cash flow statement?

Accepted Answer

A) Net income 
B) Net cash flow 
C) Net worth 
D) Total cash inflow 
A) Net income 
B) Net cash flow 
C) Net worth 
D) Total cash inflow

Question 20

An alternative to a credit card is a debit card,which pulls money out of your checking account whenever you use the card to buy something or get cash from an ATM.

Accepted Answer

A) True 
 B)False

Risk is the possibility that cash flows will be variable.

A goal that you expect to achieve in 2 to 5 years is a(n)_____.

If you are unable to pay your debts,the best thing to do is to change your phone number to avoid collection calls.

Money market accounts are considered liquid assets because they can be easily accessed to get cash.

If your credit score has been damaged,what can you do to improve it?

The purpose of interest is to cover the cost of lost opportunity.

A defined benefit plan allows a specified amount of pretax dollars to be used to pay for qualified expenses,including health care and childcare.

Generally,financial needs peak somewhere in stage 2,at approximately age fifty-five,or ten years before typical retirement age.

A big advantage of a credit card is that:

FICO stands for Fair Isaac Company-the company that developed the credit score.

What is the best way to get a copy of your credit report?

After writing your résumé and cover letter,the next step is to:

Which of the following is not true about credit card costs?

People who graduate from college can expect to generate _____ more annual income each year than those earning only a high school diploma.

Individuals with high FICO scores are likely to have to pay higher interest rates,if they can get a loan at all.

About 90% of young people with college degrees indicate that their education has already paid off or will pay off in the future.

Your personal liabilities are your obligations to various creditors.

Fannie Mae and Freddie Mac:

What is the bottom line of a cash flow statement?

An alternative to a credit card is a debit card,which pulls money out of your checking account whenever you use the card to buy something or get cash from an ATM.

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

Risk is the possibility that cash flows will be variable.

A goal that you expect to achieve in 2 to 5 years is a(n)_____.

If you are unable to pay your debts,the best thing to do is to change your phone number to avoid collection calls.

Money market accounts are considered liquid assets because they can be easily accessed to get cash.

If your credit score has been damaged,what can you do to improve it?

The purpose of interest is to cover the cost of lost opportunity.

A defined benefit plan allows a specified amount of pretax dollars to be used to pay for qualified expenses,including health care and childcare.

Generally,financial needs peak somewhere in stage 2,at approximately age fifty-five,or ten years before typical retirement age.

A big advantage of a credit card is that:

FICO stands for Fair Isaac Company-the company that developed the credit score.

What is the best way to get a copy of your credit report?

After writing your résumé and cover letter,the next step is to:

Which of the following is not true about credit card costs?

People who graduate from college can expect to generate _____ more annual income each year than those earning only a high school diploma.

Individuals with high FICO scores are likely to have to pay higher interest rates,if they can get a loan at all.

About 90% of young people with college degrees indicate that their education has already paid off or will pay off in the future.

Your personal liabilities are your obligations to various creditors.

Fannie Mae and Freddie Mac:

What is the bottom line of a cash flow statement?

An alternative to a credit card is a debit card,which pulls money out of your checking account whenever you use the card to buy something or get cash from an ATM.

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