FINAL EXAM PREP PERSONAL FINANCE SP22 WYKLE

A lawnmower that normally sells for $200 is on sale for 25% off. How much is the lawnmower after the discount and before sales tax?

• $175

• $170

• $125

• $150

If sales tax is 10%, how much sales tax must you pay on an oven that costs $500? (Percentages must be converted to decimal number before multiplying.)

• $10

• $50

• $5

• $100

Which of the following best refers to money available to you to use as you like or need after taxes have been deducted from your gross pay and your budgeted expenses (bills such as rent, utility bills, etc.) have been covered?

• variable

• fixed

• obligatory

• discretionary

What is the first step to long-term budgeting success? (Hint: It's behavioral, at heart.)

• Establish your budgeting habits first, then adjust your spending habits.

• Monitor your spending and adjust it whenever you feel like it

• Adjust your spending habits then set a budget based on these adjustments.

• Include all your bills in your budgeting plans.

Which of the following is NOT a fixed expense? (Hint: Which of these expenses is subject to change most in amount from week to week or month to month based on usage or need?)

• cable/internet

• gasoline for car

• rentq

• loan repayment

Which of the following is a major advantage paying with cash?

• Excessive spending is more likely to occur if a larger bill is broken for minor purchases.

• People tend to regret purchases make with cash.

• Spending is limited to available cash.

• If a person runs out of cash, she can easily make a withdrawal at an ATM.

Which of the following is a common non-monthly expense that could be included in a monthly budget?

• power bill

• rent

• internet/cable

• auto maintenance

Which of the following is NOT considered a type of college financial aid?

• pell grants

• subsidized/unsubsidized loans

• parental support

• tuition waivers

All of the following are true about why it is important to complete the FAFSA process EXCEPT:

• It allows you to be eligible for federal student aid.

• It allows you to be eligible for early admission.

• It allows you to be eligible for some grants.

• It allows you to be eligible for many scholarships.

When calculating Return On Investment (ROI), which of the following best describes the BENEFIT of a college education?

• the amount of money it costs to attend college

• the amount of money you will make at a job once you get your degree

• the amount of money you will have to borrow in order to attend college

• the amount of money you will have to pay in interest on your loans