Raul recently turned 18 and wants to start building his personal finances in a responsible way. Why is it important for him to first obtain a reliable source of income? Select all that apply.

• to raise his credit limit

• to pay his personal bills

• to obtain high-interest loans

• to lower the cost of investing

• to begin saving for the future

Yesenia is thinking of starting a business. Which 2 actions will best help her avoid some risks commonly faced by entrepreneurs?

• avoiding investment in technology in order to keep her costs low

• researching the market she wants to enter and developing a business plan

• taking out the largest loan that a financial institution will offer her

• rushing to open her business before other companies take her ideas

• producing a good or offering a service that is in high demand

What is a risk of carrying too much debt?

• being required to work without pay

• being required to pay higher taxes

• being unable to receive future credit

• being unable to earn a reliable income

Of Georgia's transportation systems, which of the following is most important for linking Georgia's major cities and helping move suburban commuters to and from work centers?

• the interstate highway system

• the state's extensive rail network

• the deepwater ports of Savannah and Brunswick

• Hartsfield-Jackson International Airport

Carly doesn't make a lot of money at her current job and has little savings, but she is determined to become more financially responsible. Based on this goal, in which situation would it be reasonable for her to take out a personal loan from a bank?

• Carly is getting married in the fall and wants to have a very expensive wedding.

• Carly's friends ask her to travel to Mexico with them for their upcoming spring vacation.

• Carly needs to pay for major repairs to the car on which she relies to get to work each day.

• Carly wants to purchase a brand new video game system to play games with her friends online.

Which major transportation project initiated a wave of suburbanization around many of Georgia's cities, creating jobs in road and housing construction?

• railways

• deepwater ports

• the Interstate Highway System

• Hartsfield-Jackson International Airport

Ruth had to take out expensive loans in order to afford college. She was heavily in debt by the time she graduated. Why would Ruth most likely have made this decision?

• She believed that taking out the loans would her get approved for loans later in life.

• She believed a college degree would qualify her for a lower income tax rate later in life.

• She believed a college degree would help her get a job that pays well enough to allow her to pay off her loans.

• She believed that taking out the loans would enable her to pay less for college than if she used her own money.

When starting a business, entrepreneurs assume many risks. Roughly half of all new businesses fail within the first five years. Which 2 factors contribute to this statistic?

• high inflation

• a lack of effort

• resource scarcity

• a lack of experience

• market competition

What is the importance of establishing a personal financial management plan?

• It allows a person to determine the amount of money available for expenditures. 

• It gives a person an opportunity to make additional money from financial investments. 

• It motivates a person to change his or her spending habits on a month to month basis. 

• It helps a person determine whether or not selling property will be a profitable decision. 

Georgia's four transportation systems improve both intrastate and interstate trade and help

• prevent outbreaks of disease in metropolitan areas.

• prevent overpopulation in rural communities.

• provide thousands of jobs for residents.

• provide protection for residents.