Unit 8 - Personal Finance PRETEST

Front

Who is hurt most by inflation? Options: savers at a fixed rate of interest, borrowers at a fixed rate of interest, workers with a COLA clause in their contract, speculators in gold and other precious metals.

Back

savers at a fixed rate of interest

Front

The opportunity cost of collecting money for savings in a jar is the

Back

Interest the money could have earned

Front

Which is an investment in human capital? Options: unemployment benefits, paid vacations, new machines, employee training & education

Back

employee training & education

Front

The income that results from saving money in a bank is called

Back

Interest

Front

This is a portion of corporate profits paid to stockholders.

Back

Dividends

Front

What is the most important skill that most employers look for when hiring new employees?

Back

work well with others

Front

Julia makes $50k & Chase makes $30k. Julia pays more taxes than Chase. What tax system is used?

Back

Progressive

Front

How do commercial banks make a profit?

Back

Commercial banks make a profit by paying depositors a lower interest rate than they charge borrowers.

Front

Which is better to have when you are investing money? Simple Interest or Compound Interest?

Back

Compound Interest

Front

Which affects credit worthiness the most? Job history, amount in savings account, home ownership, payment history

Back

payment history