問題一覧
1
which piece of advice about budgeting for variable expenses is most useful
track your variable expenses for a few months to find your average monthly costs
2
on the first day of every month, Raina sat down at her computer, builds a spreadsheet, and allocates ALL of her income toward expenses or saving. There’s no dollar that is unaccounted for in her budget. Which strategy is Raina using?
zero-based budgeting
3
why is it important to check your credit report regularly?
to identify potential errors for fraudulent activity
4
vanessa is a 56 year old lawyer, married, and a mother of 3 teenagers. Pierce is a 26 year old single dad to a toddler and a retail store manager. How would their needs and wants budgets compare.
their budgets would have different needs and different wants
5
your apartment rent,tickets to a concert, a pepperoni pizza, and your cell phone bill are all examples of…
expenses
6
a person has a credit utilization ratio of 25% and they open a new credit card without changing their spending. Which statement correctly describes what will happen to their utilization ratio?
utilization will go down because they are increasing their credit limit
7
all of the following statements about predatory lending are TRUE EXCEPT…
they have a federally mandated maximum APR of 25%
8
when it comes to investing in the stock market, which of the following statements is TRUE?
the whole stock market value can go up even if some stocks values go down
9
How can compounding increase your investments growth?
by reinvesting your earnings to gain additional returns
10
what is the purpose of a credit report?
to help lenders determine if you are qualified candidates for credit
11
if nessa buys an umbrella policy of $2 million, she will…
have $2 million extra liability coverage over the liability limits of her auto and homeowners insurance
12
when making your budget, you realize that you will not earn enough money to cover all of your expenses. All of the following are suggested ways of balancing your budget, EXCEPT…
borrowing money from your friends every month to make up the difference
13
which of the following actions would be included in your credit report?
you made your student loan payment on time
14
what is a health insurance deductible?
the cumulative amount that you have to pay for medical cost before your insurance pays anything
15
struggling to pay off excess debt can lead to all of these consequences, EXCEPT..
being fired from your job if your employer finds out you have too much debt
16
elijah has car insurance that includes collision coverage with deductible of $1,500 and a coverage limit of $25,000. after having an accident, he files a valid claim for car repair cost totaling $5,750. who pays?
elijah pays $1,500; the insurance pays $4,250
17
how is a secured credit card different from the the far typical unsecured credit card?
a secured credit card requires the borrower to put down a deposit to create their credit limit
18
which statement best describes the main function of using the cash envelope system of budgeting?
you allocate your spending cash for wants into labeled envelopes so you are spending intentionally and sticking to your budget
19
which of these statements accurately describes fixed expenses in a budget?
they are often *hard to change and they usually make a *large impact on your budget
20
which of the following items has the lowest unit price?
a 39oz bag of generic cereal for $4.68
21
theo reviews his credit report and decides to put a “red flag” on it. what does that mean?
new lenders will double check theos identity before approving a credit application
22
which of the following statements about wages and household american debt is true?
wages have increased less than prices, and debt has increased
23
the premium and deductible for your renters insurance policy have inverse relationship. what does that mean?
if u pay a higher premium, you will receive a lower deductible
24
jamari is working in a grocery store where he makes $22 and hour as an assistant manager. His work hours are irregular depending on the time of the year, so he has kept track of his total hours worked for the last 6 months. Use the table to calculate jamari’s average gross monthly income. Round your answer to the nearest whole dollar
$3,348
25
list these amounts in order from least to greatest
copay, deductible, out of pocket maximum
26
a household is defined as hours-burdened if their housing cost are greater than…
30% if their income
27
how does a bond differ from a stock in your investment portfolio?
Bonds typically have lower returns and lower risk than stocks
28
which of these housing is typically the largest single expense for American households?
housing
29
all of these are true about late credit card payments, EXCEPT..
they are extremely rare occurrence among american credit cardholders
30
owen’s car was recently damaged while parked outside during a big hail storm. it will cost $425 to repair. what type of coverage would help owen pay for the repairs?
comprehensive coverage
31
what is the highest FICO credit score you can obtain?
850
32
if the one day performance of Super Duper Stock shows a -11.4% return, what can you assume about the longer term historical performance of their stock?
one day returns are far too short a time frame to make any assessment about past or future performance of Super Duper
33
which statement accurately describes the historical trends of the stocks market since its inception?
the value has gone up and down a lot, but overall has increased over time
34
a standard renters insurance policy will pay for each of the following claims EXCEPT…
a new roofing for the building
35
which of these terms regarding bonds is NOT correct?
maturity: the recommended age a buyer should be when they purchase a given bond
36
if you receive inconsistent income, the best advice for budgeting is:
save a lot in months when you make a lot of money
37
which of the following is TRUE about investing?
it can help you grow your money through the power of compounding
38
which student is most likely to have the highest credit score?
kareem has 3 credit cards that they pay in full every month and recently applied for a new line of credit
39
which of the following people is likely to have the LOWEST auto insurance premium?
celine: 26 year old with a cheap car and no tickets
40
meghan asks 4 friends for advice on how to raise her credit score, which is currently at 650. which is the strongest piece of advice?
pay your credit card bill on time each month
41
which of these is an example of a fixed expense?
the insurance premiums you pay every month
42
insurance companies operate by charging each insured individual regular premiums and then using the collected money to make payments when people file a claim (for example, someone is an auto accident or needs to see a doctor). this concept is a known as..
risk pooling
43
all of the following are benefits of hourly work, EXCEPT..
consistent paycheck
44
which term refers to the maximum amount your insurance policy will pay out for covered claims in a given year?
coverage limit
45
what does it mean to have an investing portfolio that is diversified?
investing in different assets to spread out the risk to different markets
46
what is a dividend
a dividend is a payment a company makes periodically to owners of its stocks
47
which of these parties is least interested in checking your credit score?
a college admissions office
48
if you want to maximize your investment returns, which of these suggestions would be the WORST advice?
make frequent trades and withdraw your short term earnings
49
the price per share for each of her investments today
50
if a potential lender checks your credit score and finds out it is above 750, which is most likely outcome?
you will receive a loan with low interest