Unit 4 Test

All of the following are types of values that can impact your financial decisions EXCEPT…

• Inner values
• Social values
• Physical values
• Chocolate chip cookies

Each year by __________, tax paperwork and possible payments must be sent in or “filed”.

• April 5

• May 15

• April 15

The federal government obtains most of its revenue from

• oil.

• taxes and fees.

• imports.

• All of the above.

Imagine Kai, Avery, and Michael are playing a game of 'Budget Allocation'. They are discussing the US federal budget. Which department do they think receives a heavy investment?

• Department of Agriculture

• Department of Education

• Department of Defense

• Department of Transportation

What percentage of your after-tax income should be allocated to wants in the 50 30 20 budgeting method?

• 20%

• 10%

• 30%

• 50%

Michael observed he felt the pain of losing a $20 bill more than he felt the joy of finding it on the sidewalk the week before. This is a result of...

• Endowment effect
• Loss aversion
• Sunk cost
• Overconfidence

______________ _________ is the tendency to seek out information that confirms pre-existing beliefs.

• Framing Effect

• Confirmation Bias

• Selective Attention

• Congruence Bias

A health care program for the elderly and disabled

• social security
• medicare
• state income tax
• federal income tax

Overconfidence bias may lead the majority of Americans to think that they are…

• Above average drivers
• Average drivers
• Below average drivers
• Extremely poor drivers

Each of the following statements is an example of confirmation bias EXCEPT...

• Interpreting information to support your existing beliefs
• Seeking information that challenges your beliefs
• Only remembering details that uphold your beliefs
• Ignoring information that challenges your beliefs