Personal Finance Final Review

All of the following would reduce Maria’s checking account balance, EXCEPT…

• Writing a check to pay her rent

• Using her debit card to buy groceries

• Receiving a direct deposit from her employer

• Setting up an automatic payment for her utility bill

Usually, ______ are easier to reduce because they change monthly, compared to ______ which are set costs you pay monthly

• needs; wants

• wants; needs

• variable expenses; fixed expenses

• fixed expenses; variable expenses

To calculate the net price for a college, you...

• Add the cost of tuition to your room and board expenses

• Subtract any grants and scholarships from the sticker price

• Multiply the tuition by the number of years you plan to attend

• Divide the total cost of attendance by the number of semesters

A cover letter is…

• Another term for your resume

• A form that you submit to take paid time off from work

• A legal document that you sign to accept a job offer

• A part of a job application that illustrates why you would be a good fit

All of the following are common benefits of mobile banking, EXCEPT…

• Transfer money without visiting a bank branch

• Deposit checks using your phone’s camera

• Avoid all banking fees, like overdraft fees

• Check your account balance at any time

Which of the following is an example of a dark pattern?

• A social media app that clearly show you how to turn off notifications

• An online store that applies a discount with a valid coupon code

• A website that asks for confirmation before adding extra items to your cart

• A subscription service that requires you to call customer service to cancel

Mia’s renters insurance has a $15 premium, $250 deductible, and $100,000 coverage limit. Her $550 bike is stolen. Who pays?

• Mia pays $0; her insurance pays $550

• Mia pays $15, her insurance pays $535

• Mia pays $250; her insurance pays $300

• Mia pays $300; her insurance pays $250

What is the benefit of compounding in savings accounts?

• It yields larger returns than simple interest

• It allows you to make more transactions each month

• It is easier to transfer money from checking to savings

• It minimizes your tax liability

Shirley’s take-home pay, aka her _____, was lower than she expected because of _____ taken out for taxes and retirement.

• Net pay; deductions

• Net pay; capital gains

• Gross pay; deductions

• Gross pay; capital gains

How is putting money in a savings account different from investing in the stock market?

• Saving is usually high-risk; investing is usually high-return

• Saving is best for short-term needs; investing is best for long-term goals

• Saving earns about 5-7% per year; investing earns about 1-2% per year

• Saving is best for building wealth; investing is best for an emergency fund