Financial Literacy Part 1

A person sold her stock in ABC Company for more per share than she initially purchased it for. As a result, she experienced a capital

• gain

• loss

• surplus

• dividend

A transaction that exemplifies an electronic funds transfer (EFT) would be

• making a deposit through a bank teller

• withdrawing cash using a check

• using a check cashing store

• having a paycheck directly deposited

Which of the following does NOT appear on an individual's credit report?

• The amounts owed on current accounts.

• The dates and years accounts were opened.

• Current and previous addresses.

• Religion and gender.

One drawback of using phone cards, debit cards, electronic transfers, and ATM cards is

• consumers can make purchases without writing checks.

• the increased risk of identity theft.

• it slows down economic recovery.

• it reduces the amount of physical currency in circulation.

Which of the following represents the highest credit score?

• 500

• 649

• 701

• 800

Which statement is INCORRECT about most ATM cards?

• One must have an account with a financial institution to obtain an ATM card.

• Cash can always be withdrawn worldwide without any fees.

• Account balance information is generally accessible at the bank's ATM.

• Cash is available 24 hours a day, seven days a week.

A person has received an ATM card and needs to choose a PIN (Personal Identification Number). What is the best practice for creating a secure PIN?

• Use their birth date.

• Use a random combination of letters, numbers, and symbols.

• Use their last name.

• Use the name of a friend, family member, or pet.

When comparing two job offers with similar pay, what is generally the most important factor to consider?

• The size of the organization.

• The benefits and retirement plan offered by the company.

• The number of weekly work hours and the number of employees.

• The organization's reputation.

Which of the following debts remains even after filing for bankruptcy?

• Car loan

• Medical bill

• Student loan

• Credit card debt

A low credit score typically indicates that

• a person has a low income or net worth.

• a person has a poor credit history.

• it will be easier for a person to obtain a credit card with a low interest rate.

• it will be easier for a person to secure a low interest rate when borrowing money.