(Part 1) Career Prep Financial Literacy Exam Review

Which of the following types of insurance assists in covering medical expenses associated with short-term illness?

Which of the following is the form employers use to determine how much tax to deduct from a paycheck?

Which of the following purchasing cards removes funds from one’s checking account instantly after one makes a purchase?

Which of the following statements best describes gross pay?

When one receives a product or service now, but pays for it later, it is known as what?

Which of the following best describes the concept of APR?

The total money one gets to “take home” from a paycheck after taxes and deductions are taken out is known as what?

Which of the following is a financial institution that handles money, including keeping it safe for savings?

All of the following are advantages of bundling insurance EXCEPT what?

A certificate of deposit (CD) differs from a traditional savings account in what way?

Which of the following will be paid for as part of the escrow funds included in a mortgage loan?

What is the term used to describe interest earned on interest gained?

Using the simple interest formula , calculate the interest earned on $150 after one year at a 6% return rate.

When the federal government raises interest rates, which of the following is impacted positively for a consumer?

When choosing between using a bank or a credit union, which of the following is an advantage that credit unions have?

The purpose of an umbrella insurance policy is best summarized as what?

Which of the following is the term for a person who relies on someone else financially?

Which of the following types of mortgage loan helps people who may have a low credit score or a first time home buyer?

When someone is purchasing a product at a store,what additional cost must be paid to find the total cost of the product?

Which of the following practices does not lead to a higher car insurance rate?

When seeking to open a bank account, which of the following is needed?

Which of the following types of insurance helps pay for stays in a nursing home?

All the following are examples of installment loans EXCEPT:

Which of these types of insurance provides income to people who depend on a wage earner after the wage earner dies?

Which of the following is when an employee is informed of how much money was deducted from paychecks in a year?