PFL final review 1

Match the terms to their definition

• Policy limit

• The monthly or annual amount you must pay in order to have insurance coverage

• Premium

• The annual amount of money you must pay out-of-pocket for medical expenses before your insurance kicks in and starts to make payments

• Co-pay

• A flat fee you must pay towards the costs of medical visits. Your insurance provider pays the remaining balance.

• Deductible

• The maximum dollar amount that an insurer will pay for damages or losses under an insurance policy.

Which of the following provides insurance to individuals over the age of 65, some individuals with disabilities and individuals with permanent kidney failure?

• Self-insurance

• Social Security

• Medicare

• Medicaid

Upon moving out of your parent’s basement and into your own home, one of the first things you decide to buy is a dog. Because you live alone, you decide to get a pitbull not only for companionship but also for protection. One day, one of your neighbors stops by for a visit and your pitbull bites the neighbor. What part of your homeowner’s insurance coverage will help your neighbor pay for his medical bills and potentially missed days at work?

• Fire

• Flood

• Liability

• Injury

​ (a)   usually are awarded only to undergraduate students who display exceptional financial need and have not earned a bachelor's, graduate, or professional degree... Unlike a ​ (b)   you will not need to repay this form of financial aid except under certain circumstances. “

• Pell Grant
• student loan
• Fulbright Grant
• Rhode Grant
• Gift
• Tax

___________are the engines of innovation that bring new ways of organizing land, capital and labor to produce new goods and services.

• Entreprenuers

• Laborers

• Robber Barrons

• Franchises

Stanley Yelnats has invented a peach spray that eliminates odors from shoes. He has received numerous investors to manufacture and sell this new product. Stanley is ready to begin manufacturing his new invention but first, he should apply for a ________ which will protect his invention and allow him to make a profit and earn income.

• Copyright

• Patent

• Trademark

• Logo

Individuals who are self-employed must pay a ​ (a)   that would otherwise by taken care of by a company for the employees

• Self employment tax
• Business tax
• Patent Tax
• Entrepreneurial Tax

________ is an independent agency of the United States Government that helps Americans start, build and grow businesses. The ultimate goal of this agency is to strengthen the nation’s economy by enabling the establishment of and viability of small businesses.

• Chamber of Commerce

• Department of Labor

• Trade commision

• U.S. Small Business Administration (SBA)

Three friends, Forrest, Jenny, and Bubba have decided to create a restaurant called Bubba Gump Shrimp. Forrest will be in charge of advertising, Jenny will manage the restaurant and Bubba will be the head chef. Due to their limited individual capital, the best type of business organization for these friends is

• Partnership

• Franchise

• Corporation

• sole proprietorship

Anna has decided that she wants to start a sandwich shop in the Kingdom of Arendelle. She plans to take on all the obligations of the company because she wants complete control of the business and most especially of the types of sandwiches the company offers. What type of business will Anna want to register her sandwich shop as?

• sole proprietorship

• partnership

• corporation

• franchise