Everfi - Financing Higher Education Modules 1-3

A positive return on investment for higher education

• happens when you get a really good scholarship and discounts on tuition

• is when your earnings potential is higher than the cost of your education

• is when you land a job after graduating

• happens when the costs of higher education are less than you expected

Which of these is not something to consider when trying to get a positive return on investment (ROI) for higher education?

• The cost of attendance.

• The type of food that is offered on the meal plan.

• Your expected career income.

• The financial aid package that is offered to you.

Which is an example of why higher education typically has a positive return on investment (ROI)?

• Jobs and careers that require a degree or certificate generally earn higher salaries

• you will form some long lasting friendships that will have a positive impact on your life

• The jobs that require a degree have fewer responsibilities

• The jobs that require a degree have more responsibilities

The sticker price of an institute of higher education includes

• loans and their associated fees

• tuition minus any scholarships, grants

• scholarships, grants and other forms of financial aid

• tuition, housing, food, books and other costs

Which of the following is not an example of how you can reduce the full cost of higher education?

• Cook your own meals instead of using a meal plan.

• Buy new textbooks at the bookstore

• Live close to campus so you can bike or walk to class.

• Live in shared housing to share costs.

Why are net costs of higher education different from sticker prices?

• Sticker prices include all scholarships, grants and special program financing.

• Net costs are higher since they include interest charged to basic costs.

• Net costs include all scholarships, grants and special program financing

• Sticker prices are higher since they include loans

Which institution will most likely have the lowest sticker price?

• Public 4-year university

• Private 4-year university

• Community college

Choosing the higher education institution with the cheapest sticker price might be a bad idea because

• sticker prices always have hidden costs which may increase the overall costs

• more expensive schools may be cheaper once the net cost has been determined

• cheaper schools usually charge more for housing which is not a part of a sticker price

• cheaper schools usually will not allow you to apply for financial aid

Taking more than four years to graduate will increase costs and may impact a return on investment. You can check the graduation rate to see how long the average student takes to earn a degree at that college.

• True

• False

A _____ can help you estimate how much money you might get in scholarships and grants at a given institution of higher education

• return on investment calculator

• clearance calculator

• net price calculator

• sticker price calculator