PF Benchmark Review

Why do many people think it is be better to not receive a refund from the IRS at the end of the year?

• because you are giving them money tax free instead of putting that money into an interest bearing account
• because you never file taxes
• because you put the Social Security number on your W-2 Form
• because you should not expect the government to send you a check

When do most finance professionals recommend that you start saving money?

• as soon as you have money
• as you near retirement
• once you get your feet on the ground after paying of your bills
• after you start your first job

You want to save money for a down payment on a house in the future. At which interest rate would you have the most savings at the end of ten years?

• 0.063
• 0.06
• 0.04
• 0.03

Which one of these tips is NOT a good financial choice?

• try not to save a little bit each month
• buy items on sale
• create a budget
• don't try to compete with your friends

Which of the following factors has the greatest influence on how much a person can afford based on their income?

• where they live
• level of education
• grades in school

What type of expense is your rent each month?

• routine expense
• discretionary expense
• nonroutine expense
• variable expense

What type of expense would a night out to dinner with friends be?

• discretionary expense
• essential expense
• routine expense
• fixed expense

Which is an example of a good debt?

• financing your education
• financing trendy clothes
• financing a vacation
• financing meals

What could some reasons be for running into financial problems?

• all of the above
• building up too much debt as a young adult
• failing your personal finance course in high school
• learning you have been the victim of identity theft 2 years after it happened by not checking your credit report

Which of the following FICOscores will get you the lowest interest rates on a mortgage?

• 720.0
• 600.0
• 580.0
• 500.0