#20 Ch. 4 Wrap Up Questions

Which of the following is not a tool for monitoring your finances?

• Personal Balance Sheet

• Budget

• Liability

• Cash Flow Statement

One way to increase savings is to _____ cash inflows.

• increase

• decrease

• spend

• monitor

A scholarship would be an example of a cash _____.

• outflow

• inflow

• decrease

• statement

Which of the following is not an asset?

• car

• stock

• credit card bill

• jewelry

Shares of ownership in a company are represented by _____.

• bonds

• stocks

• assets

• liabilities

Your net worth is calculated by summing up the value of your _____ and subtracting your liabilities.

• stocks

• cars

• assets

• debts

Which of the following is more likely to be a long-term liability?

• mortgage

• credit card bill

• electric bill

• water bill

If you buy land that increases in value your _____ will increase as long as your debt remains the same or declines.

• net worth

• liabilities

• budget

• cash flows

If your total debt is $4,500 and the value of your assets is $9,100 the your debt-to-asset ratio is equal to _____.

• 2.02%

• 49.4%

• 57.05%

• 50.6%

Which of the following is a type of college savings plan created by the government to encourage people to save for their children's and grandchildren's education?

• bond savings alternatives

• stock plans

• Section 529 plans

• IRS college funds