Question 1

Life situation Young Couple with children under 18 What are your specialized financial activities?

Accepted Answer

A) Consider home purchase. 
B) Obtain adequate amounts of health, life, and disability insurances. 
C) Consider tax-deferred contributions to retirement fund. 
D) Manage the increased need for credit 
E) Consider income splitting 
A) Consider home purchase. 
B) Obtain adequate amounts of health, life, and disability insurances. 
C) Consider tax-deferred contributions to retirement fund. 
D) Manage the increased need for credit 
E) Consider income splitting

Question 2

Decreased consumer spending will usually cause:

Accepted Answer

A) lower consumer prices. 
B) reduced employment levels. 
C) lower tax revenues. 
D) lower interest rates. 
E) higher employment levels. 
A) lower consumer prices. 
B) reduced employment levels. 
C) lower tax revenues. 
D) lower interest rates. 
E) higher employment levels.

Question 3

When an individual makes a purchase without considering the financial consequences of that purchase, they are ignoring the ________________ aspect of financial planning.

Accepted Answer

A) Borrowing 
B) Risk Management 
C) Spending 
D) Retirement and Estate Planning 
E) Obtaining 
A) Borrowing 
B) Risk Management 
C) Spending 
D) Retirement and Estate Planning 
E) Obtaining

Question 4

What is the future value of $30,000 received today, after 10 years if it is invested at 7% compounded annually for the next seven years and 5%, compounded annually for the remaining three years?

Accepted Answer

A) $81,744 
B) $71,000 
C) $62,772 
D) $54,567 
E) $55,767 
A) $81,744 
B) $71,000 
C) $62,772 
D) $54,567 
E) $55,767

Question 5

Which one the following is not a personal risk

Accepted Answer

A) Interest rates 
B) Assets 
C) Inflation 
D) Liquidity 
E) Product 
A) Interest rates 
B) Assets 
C) Inflation 
D) Liquidity 
E) Product

Question 6

Who is most likely to benefit by inflation?

Accepted Answer

A) retired people 
B) lenders 
C) borrowers 
D) low-income consumers 
E) government 
A) retired people 
B) lenders 
C) borrowers 
D) low-income consumers 
E) government

Question 7

Which of the following is not a source of financial planning?

Accepted Answer

A) Bankers 
B) Accountants 
C) University Professors 
D) Lawyers 
E) Insurance Agents 
A) Bankers 
B) Accountants 
C) University Professors 
D) Lawyers 
E) Insurance Agents

Question 8

Anne has a goal of "saving some money month for vacation next summer." Anne's goal lacks

Accepted Answer

A) measurable terms. 
B) a realistic perspective. 
C) specific actions. 
D) a tangible end. 
E) a time frame. 
A) measurable terms. 
B) a realistic perspective. 
C) specific actions. 
D) a tangible end. 
E) a time frame.

Question 9

Liquidity refers to

Accepted Answer

A) the earnings on savings. 
B) the risk of an investment. 
C) the ease of converting a financial resource into cash. 
D) the amount of insurance coverage a person has. 
E) a person's inability to pay his or her debts. 
A) the earnings on savings. 
B) the risk of an investment. 
C) the ease of converting a financial resource into cash. 
D) the amount of insurance coverage a person has. 
E) a person's inability to pay his or her debts.

Question 10

Your life situation is affected by which of the following?

Accepted Answer

A) Buying a car 
B) Vacations 
C) Getting a raise at work 
D) Graduation 
E) Grades 
A) Buying a car 
B) Vacations 
C) Getting a raise at work 
D) Graduation 
E) Grades

Question 11

The changing cost of money is referred to as ____________ risk.

Accepted Answer

A) interest-rate 
B) inflation 
C) economic 
D) trade-off 
E) personal 
A) interest-rate 
B) inflation 
C) economic 
D) trade-off 
E) personal

Question 12

If you put $1,000 in a saving account and make no further deposits, what type of calculation would provide you with the value of the account in 20 years?

Accepted Answer

A) future value of a single amount 
B) simple interest 
C) present value of a single amount 
D) present value of a series of deposits 
E) future value of a series of deposits 
A) future value of a single amount 
B) simple interest 
C) present value of a single amount 
D) present value of a series of deposits 
E) future value of a series of deposits

Life situation Young Couple with children under 18 What are your specialized financial activities?

Decreased consumer spending will usually cause:

When an individual makes a purchase without considering the financial consequences of that purchase, they are ignoring the ________________ aspect of financial planning.

What is the future value of $30,000 received today, after 10 years if it is invested at 7% compounded annually for the next seven years and 5%, compounded annually for the remaining three years?

Which one the following is not a personal risk

Who is most likely to benefit by inflation?

Which of the following is not a source of financial planning?

Anne has a goal of "saving some money month for vacation next summer." Anne's goal lacks

Liquidity refers to

Your life situation is affected by which of the following?

The changing cost of money is referred to as ____________ risk.

If you put $1,000 in a saving account and make no further deposits, what type of calculation would provide you with the value of the account in 20 years?

Money Management Strategy: Financial Statements and Budgeting

Planning Your Tax Strategy

Banking Services of Financial Institutions

Introduction to Consumer Credit

Choosing a Source of Credit: The Costs of Credit Alternatives

The Finances of Housing

Home and Automobile Insurance

Life, Health, and Disability Insurance

Fundamentals of Investing

Investing in Stocks

Investing in Bonds

Investing in Mutual Funds

Retirement Planning

Estate Planning

Filters

Exam 1: Personal Financial Planning: An Introduction

Life situation Young Couple with children under 18 What are your specialized financial activities?

Decreased consumer spending will usually cause:

When an individual makes a purchase without considering the financial consequences of that purchase, they are ignoring the ________________ aspect of financial planning.

What is the future value of $30,000 received today, after 10 years if it is invested at 7% compounded annually for the next seven years and 5%, compounded annually for the remaining three years?

Which one the following is not a personal risk

Who is most likely to benefit by inflation?

Which of the following is not a source of financial planning?

Anne has a goal of "saving some money month for vacation next summer." Anne's goal lacks

Liquidity refers to

Your life situation is affected by which of the following?

The changing cost of money is referred to as ____________ risk.

If you put $1,000 in a saving account and make no further deposits, what type of calculation would provide you with the value of the account in 20 years?

Money Management Strategy: Financial Statements and Budgeting

Planning Your Tax Strategy

Banking Services of Financial Institutions

Introduction to Consumer Credit

Choosing a Source of Credit: The Costs of Credit Alternatives

The Finances of Housing

Home and Automobile Insurance

Life, Health, and Disability Insurance

Fundamentals of Investing

Investing in Stocks

Investing in Bonds

Investing in Mutual Funds

Retirement Planning

Estate Planning

Filters