Personal Finance

Front

Which of the following best describes a progressive tax system? A tax system where everyone pays the same percentage of their income, regardless of how much they earn. A tax system where individuals with lower incomes pay higher tax rates than those with higher incomes. A tax system where there is no tax on income. A tax system where the tax rate increases as a person's income increases.

Back

A tax system where the tax rate increases as a person's income increases.

Front

Which of the following best describes a property tax? A tax on the income you earn from working. A tax on the sale of goods and services. A tax based on the value of persons real estate or personal property. A tax on the amount of money a person spends during the year.

Back

A tax based on the value of persons real estate or personal property.

Front

True or False. An increase in education can lead to an increase in earnings.

Back

True

Front

Which of the following investments would have the lowest risk? Corporate stocks, Certificate of Deposit, Mutual Fund, Gold and Silver

Back

Certificate of Deposit

Front

What benefits do credit unions offer?

Back

Lower interest rates

Front

What type of lender requires no credit check and has high interest rates and fees?

Back

Pay day lender

Front

What type of lender uses the borrowers vehicle as collateral?

Back

Title pawn lender

Front

Why would a bank have a higher interest charged than earned?

Back

It's a source of profit

Front

True or False. In terms of investment options, risk and reward have a direct relationship.

Back

True

Front

True or False. In terms of investments, stocks offer a higher potential for return compared to mutual funds and CD's, but also the higher risk.

Back

True