Education and Financial Aid Worksheet

Why would an individual continue with education after receiving a high school diploma?

• Student loans incurred to pay for postsecondary education reduce lifetime earnings.

• Earned income usually peaks during education and training.

• Higher levels of education and training result in greater lifetime earnings.

• Investment income decreases with increased levels of education and training.

What is one benefit of completing a post-secondary degree?

• Avoiding student loans to ensure greater lifetime earnings

• Earning more income at an early age

• Gaining the ability to enter the labor force sooner

• Developing marketable skills to be attractive to employers

Which status would immediately make a student ineligible for a FAFSA application?

• The student’s parents have already paid the cost of tuition.

• The student has received a GED rather than a high school diploma.

• The student is a permanent resident of the US, rather than a citizen.

• The student’s parents’ income is greater than the US median annual income.

An undergraduate student is applying for a student loan to pay for tuition. What benefit makes a subsidized loan more attractive compared to an unsubsidized loan?

• Subsidized loans offer higher annual borrowing limits than unsubsidized loans.

• Subsidized loans allow the student to avoid interest payments during his time in college.

• Subsidized loans require a higher credit score than unsubsidized loans, ensuring a lower interest rate.

• Subsidized loans are more appropriate for undergraduate loans than graduate loans.

What should be the first question you ask your before opening a business?

• What hourly pay can my business afford to pay employees?

• What will the business hours for my business be?

• What needs of the community can my business help meet?

• What should the legal structure of my business be?

The first years of running a small business have the potential to be financially challenging. What are some strategies an entrepreneur can use to generate income?

• Employing less-qualified employees to save money on wages

• Investing in stocks and bonds

• Offering products at competitive prices that fill a need in the market

• Reinvesting all early profits back into the business to expand quickly

• Trademarking a product that can be licensed by other entrepreneurs

Why would a sole proprietor leave his business and join a firm?

• B. Flexible hours

• C. Insurance benefits

• D. Labor law exemptions

• E. Form 1099 recordkeeping

Which agency is the most commonly available to support entrepreneurs at the local level?

• Department of Labor

• Chamber of Commerce

• Small Business Administration

• Consumer Financial Protection Bureau

Ruthie is an entrepreneur opening a small business. Which resource is available for her at the state level to help develop and maintain the skilled labor her business needs?

• Department of Labor

• Chamber of Commerce

• Workforce Training Grants

• Small Business Innovation Program

What BEST describes a risk associated with owning a franchise?

• The potential for profit is low.

• The initial fee is typically high.

• A business structure needs to be established.

• Strategies for promoting the business need to be developed.