Personal Finance Midterm review

CALCULATE: A 32-ounce bag of gummy sharks cost $5.97, what is the unit price?

• $0.53

• $0.18

• $0.37

• $0.67

Answer explanation

5.97 (Price) / 32 (Ounces) = $0.18 (Unit Price)

Income (Earned, Investment, Passive) - Deduction (Standardized or Itemized) = ______ is the formula for?

• Average Tax Rate

• AGI

• APY

• APR

Because of Time Value of Money a dollar invested today should be worth ______  than a dollar tomorrow

• MORE

• LESS

Filing for bankruptcy should be the last resort as it damages your credit score. True or False?

• TRUE

• FALSE

What is the formula for calculating your NETWORTH?

• Total cash received during the time period − Cash outflows during the time period = ___

• Total liabilities - Total Assets = ___

• Total assets - Total liabilities = ___

• Total monthly debt payments / Gross monthly income = ___

CALCULATE: Isabeau has $48,000 in assets and $27,000 in liabilities, what is his net-worth?

• -$75,000

• -$21,000

• $21,000

• $75,000

Excise Tax applies to the following EXCEPT:

• Alcohol

• Alcohol

• Airline Tickets

• Fruits

Would Jeanie be insolvent if her assets were worth $50,000 and Liabilities were worth $35,000?

• Yes

• No

What are Condominiums?

• a form of housing in which the units in a
  building are owned by a nonprofit

• previously owned houses, new houses, and custom-built homes

• individually owned housing units in a building with several such units (ownership does not include common areas)

• fully or partially assembled in a factory
  and then moved to the living site

The 5 C's of Credit are:

• Character, Capacity, Capital, Collateral, and Conditions

• Character, Capital, Call, Collateral, and Conditions

• Character, Capacity, Capital, Currency, and Conditions

• Character, Collateral, Commission, Capital, and Conditions