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Duplicate of Final Review Game!
Duplicate of Final Review Game!
40 terms
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StudBud Administration
Personal Financial Literacy Final Review
Flashcards
40 cards
F
Practice quiz
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Host live
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Questions
40
Answers
1
You can withdraw IRA funds without penalty beginning at age ________.
59.5
62.5
35
21
2
Which of the following is a tax-sheltered retirement account?
a 401(k)
a mutual fund
a municipal bond
a promissory note
3
Which of the following could be best described as a middle term financial goal?
maintain a 3.0 GPA or higher
save $150 for a trip this summer
save $250,000 for retirement
save $1000 for a down payment
4
Most investors are trying to buy a stock at a ________ and sell it later at a ________.
high price; higher price
low price; higher price
high price; lower price
low price; lower price
5
Which of the following is an example of open-ended revolving credit?
Car Loan
Credit Card
Mortgage
Department Store 30-same-as-cash
6
By law, Federal Tax Returns must be typically filed by what date?
April 15th
May 15th
December 31st
January 1st
7
Which of the following is the best analogy for a financial plan?
A registration guide for college classes
A to-do list for a busy student
A user's manual for a cell phone
A blueprint for a builder
8
In financial terms, a bond is a ________.
promissory note
security
dividend
commission
9
Which identity theft techniques could be practiced by an employee of a retail business?
Skimming
Phishing
Pharming
Pretexting
10
Most experts say you should build a savings large enough for _____ worth of your regular bills.
one month's
three to six months'
one week's
six months' to one year's
11
Which of the following would you be LEAST likely to include on a resume?
Your work history
Your relevant skills
Your social networks
Your level of education
12
Which is weighted heaviest in calculating an individual’s credit score?
Payment history
Length of history
Types of credit
Amount owed
13
Which of the following provides the most accurate definition of personal finance?
All of the financial issues involved in borrowing money
All of the financial issues that can affect an individual
All of the financial issues involved in saving money
All of the financial issues involved in spending in a budget
14
In general, which type of tax is typically used to fund local schools?
Income tax
Payroll tax
Real estate tax
Sales tax
15
You pay for the first $1,500 of medical costs each year, your insurance pays everything else:
a deductible
an indemnity plan
a premium
co-insurance
16
Which of the following is not a legitimate credit bureau?
TransUnion
Equifax
FISCO
Experian
17
Which of the following would cause real estate prices in a market to go down?
lower interest rates on mortgages
more buyers than sellers
more sellers than buyers
tax code provisions reducing tax liability
18
All of the following are common parts of employee compensation plans except __________.
renter’s insurance
health insurance
pension
salary
19
______ is a government-sponsored program to provide health insurance for low-income individuals
Medicare part A
Medicare part B
Social Security
Medicaid
20
Whenever you authorize someone to take money out of your account, you are using a(n) ________.
bank draft
cashiers check
traveler's check
money order
21
People save money, build wealth, and acquire assets primarily by having a(n) __________.
equity
asset
net worth
income
22
the term for money that a lender makes available to a borrower, understanding it will be repaid
Interest
Investment
Credit
Collateral
23
Why are payday lending, tax refund loans, and pawn shops expensive credit options?
Annual fee
Credit check fee
Large grace period
High interest rate
24
A loan that requires you to put down collateral is a(n) __________ loan.
Unsecure
Secure
Subprime
Lease
25
Which of the following is not the name of a typical tax form?
1040EZ
1099MISC
A15
W2
26
Net worth is determined by subtracting an individual's liabilities from his or her ________.
Liquidity
Assets
Equity
Income
27
Which of the following is the most "liquid" asset?
Checking Account
Mutual Fund
Car
House
28
The Federal Reserve stimulates the economy or slows it down by ________.
imiting the number of banks and credit unions
controlling the market rate of interest
offering a discount rate to individual borrowers
manipulating the stock market
29
Which type of life insurance give coverage for a specific period of time and builds savings?
Predetermined life
Term life
Whole life
Universal life
30
A financial plan with a higher level of risk is likely to also have ________.
a lower potential payoff
fewer drawbacks
a higher potential payoff
a more certain potential payoff
31
Which liability is most likely to be short-term?
Student Loan
Mortgage
Credit Card
Car Loan
32
The process of combining several small loans into one larger loan is known as __________.
Rollover
Payment branching
Combination cash
Debt consolidation
33
People without enough ________ often use ________ to cover immediate shortfalls...
assets; interest
equity; assets
liquidity; credit
income; equity
34
Which of the following is in charge of determining how much money is in circulation?
The Federal Reserve
The Department of Commerce
The Bureau of Economic Analysis
The US Treasury
35
A type of formalized training that allows you to train while paid to work is called a(n. _____.
internship
clerk
attendant
apprenticeship
36
Which of the following people would be least likely to want life insurance?
a married lady with no children in her thirties
elderly man with grandchildren
a single guy in his twenties
middle-aged, single woman with a child
37
The federal tax system is carried out by the __________.
Federal Reserve
Federal Depository Insurance Corporation
US Treasury
Internal Revenue Service
38
The highest median income is earned by people who have completed which level of education?
Bachelor's degree
Master’s degree
Associate degree
High school degree
39
Most credit cards charge interest rates of ____ on balances carried from one month to the next.
3% to 7%
15% to 22%
7%to 12%
12% to 15%
40
Which of the following is the wisest guide to determine a credit limit for yourself?
20% of your monthly wages
The amount you can afford to repay each month
The amount of credit extended to you by your credit cards
The credit limit banks will extend to you