Review Economics and Personal Finance Part 2

Time worked above and beyond regular hours is called

• Overtime
• Flextime
• telecommuting
• none above

The quantity of goods or services that consumers are willing and able to buy is called:

• Supply
• Purchase
• demand
• surplus

A business can be established as a _________________

• partnership
• sole proprietorship
• corporation
• All of the Above

When a person is reconciling a checking account and notices that the balance in the checkbook does not match the balance on the statement from the bank, which action is it appropriate for the person to take first?

• Determine that checks already written have cleared
• Deposit sufficient funds to adjust the balance in the checkbook to match the bank’s balance
• Adjust the balance in the checkbook so it is the same as the bank’s balance
• Notify the bank in writing to adjust the statement

Sally’s health insurance policy requires her to pay the first $500 of medical costs each year before the company will pay any of her medical bills. This policy provision is the

• co-insurance clause.
• premium.
• annual deductible
• major medical benefit.

What is a unit of ownership in a company?

• share
• dividend
• partnership
• stock market

Which is a document that defines how assets will be distributed after a person dies?

• insurance policy
• a will
• a reporter
• a stock certificate

Another name for “straight bankruptcy” is:

• Chapter 13 bankruptcy
• Chapter 11 bankruptcy
• Chapter 7 bankruptcy
• Chapter 100 bankruptcy

________ is the amount borrowed, or the unpaid portion of the amount borrowed, on which the borrower pays interest.

• Capital
• grace period
• deductible
• Principal

What is the formula for computing simple interest?

• I= (P) x (R) x (T)
• (P) = (C) x (W)
• APR + interest
• c2 = a2 + b2