Personal Finance Unit 3 (3.01 - 3.07)

As Jonah plans for his future, his family has challenged him to create a SMART goal for his career education and training. Which question is the least important one to consider at this point?

• What kind of training and education do I need and how much will it cost?

• Is there a career pathway available if I continue my education and training?

• Can I get the education and training I need near where I currently live?

• Will a job be available and will I earn enough in my career to pay for the education and training it requires?

The money one would have earned if she/he had worked instead of continuing her/his education is called the:

• debt-to-income ratio.

• opportunity cost.

• benefit.

• total estimated cost.

Carson’s family has always struggled financially due to his parents leaving high school before graduating and working lower paying jobs to support the family. His parents do not want him to make the same mistake and are encouraging him to apply for scholarships and any type of student aid he might qualify for. Which application will determine which type of need-based aid he will qualify for?

• Perkins Federal Loan Application

• Direct Subsidized Stafford Loan Application

• Federal Work Study Application

• Free Application for Federal Student Aid (FAFSA)

Career assessments help to identify:

• the job an individual should have if he/she wants high well‐being.

• positions available in a particular occupation.

• fastest and slowest growing careers in a particular occupation.

• possible career areas related to one’s interests.

Susan is currently working in Kansas City, MO earning $30,000 per year. She is offered a position in Indianapolis, IN earning $32,000 per year. If Kansas City’s Cost of Living Index is 100 and Indianapolis’ Cost of Living Index is 125, which is true?

• Susan will have more spending power if she moves to Indianapolis.

• Susan will have more spending power if she stays in Kansas City.

• Susan will have the same spending power in Indianapolis as she has in Kansas City.

• There is not enough information to decide.

When Charles received his college placement test results, he is informed that he will need remediation in math. Which situation is not true of Charles’ situation?

• Charles will need to take at least one course because he is not college-ready.

• Since the remedial courses Charles must take will not count toward his degree, he needs to take the courses but tuition is not charged.

• Charles should have taken a placement test earlier in high school so he could strengthen his academic skills before heading for college.

• Remediation courses do not count toward his degree program so he may need to take extra credits and his college degree may take longer to complete.

Erin has been in college for 2 years and has decided that the major she has been studying is not for her. Changing her major and/or her college could result in:

• a well-rounded college degree.

• the need for backward planning.

• losing credits for classes she has already taken.

• remediation courses to make up for the change in majors

Which statement is true regarding college-level expectations for studying and completing projects?

• It is best to study alone in a quiet environment.

• Plan backward from major deadlines.

• Multitasking during study time develops the important skill of working while being distracted, so it is okay to message with friends or watch TV while studying.

• The busier your schedule gets, the more important it is to write down only the most critical tasks to be done. Wasting time writing down smaller details is not recommended.

Jaimen is struggling to make his student loan payments after college. He is considering defaulting on the student loan. Which is not a potential consequence if he decides to default on the student loan?

• He could be denied credit cards, car or home loans, or apartment leases.

• The bank could refuse to allow him to open a checking account.

• He may not be able to obtain a marriage license.

• His wages may be garnished.

Joanna has arranged to complete a job shadow with a physical therapist to decide if this is a career she wants to pursue. Which of her concerns is she most likelyto have answered as a result of her job shadow?

• The future outlook for physical therapy jobs

• The amount of money physical therapists earn

• Common tasks and typical daily activities

• Opportunities for advancement in the career