The W!SE Practice Test #1

When you purchase a municipal bond, you are:

What is your monthly insurance: Premium $300 month; Deductible $500; Co-pay $10

Which of the following are costs associated with owning a car?

What is the most likely form of payment for a server at Applebee's?

What is liquidity?

Municipal bonds are exempt from federal taxes and state taxes

An investment portfolio should be diverse.

Which loan type requires you to make loan payments while you’re attending school?

When buying stock in a company, you are:

You should reconcile your checking account

Which has the highest risk?

Someone gets your Social Security number. You could become a victim of:

Which type of insurance requires you to have a Primary Care Physician?

Which of the following is an advantage of federal student loans?

Which of these give loans?

What is deflation?

Jan pays $70 each month for her auto insurance policy.This regular payment is called a:

Which is cheaper, term life insurance or whole life insurance?

What is a credit union?

The ______ tells you how many years it will take an investment to double.

What is the safest way to dispose of old bank account statements?

Insurance can help you:

The largest secondary market for stocks/securities in the U.S, is the_________.

Which of the following are NOT deducted on a typical paystub:

Which asset is more liquid?

What is a cashier's check?

When you buy insurance, you and the insurance company are_______________.

Which of the following will charge the highest interest rate?

Which earns you more money over time?

What is the most likely form of payment for a part-time employee at Best Buy?

What is a mortgage?

An installment loan is:

When you purchase an item in a store, you may be charged__________.

A business with co-owners, in which both parties are legally joined together

A business owned by a group of stockholders

Someone who organizes, manages, and assumes the risk of owning a business is called an entrepreneur.

Pay that is fixed amount regardless of hours worked

Identity thieves can use your personal information to

Which document puts you at the least risk of identity theft?

Which are the correct orders of investments from Lowest risk to Highest risk?

Committing money to an enterprise in order to earn a financial return is known as:

Which offers the lowest risk?

Pay that is an hourly rate

What is a recession?

It's best to start saving for retirement when you're about 15 years away from retirement

The best way to investigate fraudulent transactions on your credit card is to:

Payments or property given to people or institutions, which do not have to be paid back.

The main trade-off that all investors must consider is:

It's important to reconcile your checking account to make sure there are no mistakes.

Diversification is __________.

The Federal Reserve System:

Compounding of interest allows a principal amount to grow at a ____ rate than simple interest.

Your net worth is the difference between the amount you own and the debts you owe.

A voluntary payment offered to an employee based on the quality of service

A _________ is generally considered an appreciating asset because it will ____________ in value over time.

The form you complete to determine how much tax to withhold from your paycheck is the_______.

What is the primary reason to issue stock?

Renting provides _________ flexibility but can lead to _________ costs in the long-term

Which of the following is generally true about 401(k) and 403(b) retirement plans?

The return on investment (ROI) from education is typically the highest for:

Where can you find information about Financial Aid?

A pension and/or a 401-K are:

When you buy a ______________, you are loaning money to an organization.

Using the FAFSA form, you can apply for:

Which is better, a bull market or a bear market?

Which type of life insurance never expires?