Financial Literacy QUIZ 1

Question 1

BORROWING means receiving money with an agreement to repay it in the future, usually with interest charged.

Accepted Answer

True

Question 2

E-transfers are a form of contactless payment.

Accepted Answer

True

Question 3

Interest paid on the principal amount of a loan or a deposit is:

Accepted Answer

Simple Interest

Question 4

How do I find out the total cost of something INCLUDING tax?

Accepted Answer

Multiply by 1.13

Question 5

Giving money to a person or business with the expectation that it will be repaid is being a:

Accepted Answer

Lender

Question 6

Canada's currency (cash) is made by:

Accepted Answer

The Bank of Canada

Question 7

If I borrow $100 with a simple interest of 15%, how much do I owe?

Accepted Answer

$115

Question 8

Which method of payment is the most accessible? (this means that anyone can use it)

Accepted Answer

Cash

Question 9

If you make a mistake writing a cheque, who is ultimately responsible?

Accepted Answer

You!

Question 10

Which of the following is a method of payment?

Accepted Answer

All of the above

Question 11

An amount that a financial institution charges a customer to borrow money is called:

Accepted Answer

Interest

Question 12

In Canada, how much HST do we pay?

Accepted Answer

13%

Question 13

Interest paid on the principal amount of a loan PLUS any previously accumulated (gained) interest is:

Accepted Answer

Compound Interest

Question 14

When you apply for a mortgage, the type of interest you will pay on your loan is COMPOUND interest.

Accepted Answer

False

Questions 14