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Wise Practice Test Pt. 2

Total questions: 14

Worksheet time: 7mins

Name
Class
Date
1.

New coins and currency make their way into the general economy, consumers and businesses, through the distribution system of the:

a)

Treasurer of the United States

b)

Secretary of the Department of Treasury

c)

Federal Reserve System

d)

U.S. Federal Mint

2.

A factor that is likely to affect the market price of a stock is:

a)

The age of the corporation

b)

Corporate profits

c)

The number of corporate employees

d)

Wages

3.

The term used to describe the ease and speed with which you can convert savings or an investment to cash is

a)

Convertibility

b)

Principal

c)

Liquidity

d)

Rate of return

4.

Richard's auto insurance policy expired on 5/15/2002. Richard was upset with his insurance agent and decided to change insurance companies. At 10:00 a.m. on 5/16/2002, as he drove to a different agent to buy a new policy, he had an accident. Who is liable for damage to his car and his personal injuries?

a)

The old agent

b)

The new agent

c)

Richard

d)

The old agent is liable for damage to your car and the new agent for personal injuries

5.

What is a credit score?

a)

A number used to determine how much credit to extend to a person.

b)

A measure used to indicate a person’s gross wealth.

c)

A reward system that is based on

the number of credit cards a person has.

d)

A formula based solely on a person’s earnings.

6.

When Lucy was born, her grandparents gave her a Series EE savings bond that will be worth $1,000 at maturity. Her grandparents paid:

a)

$1,000 for the bond

b)

$500 for the bond

c)

$750 for the bond

d)

These bonds are gifts for long term depositors

7.

A bank Certificate of Deposit is a:

a)

Savings instrument that requires a deposit for a period of time during which the saver can withdraw money from the plan at any time without a penalty

b)

Savings instrument that requires a deposit for a period of time during which there is a penalty for withdrawals

c)

Cash deposit in a savings account that earns interest

d)

Certificate for deposits that are issued for half the face value

8.

Which financial product may pay a dividend?

a)

Saving account

b)

Money market account

c)

Certificate of deposit

d)

Stock

9.

If you have a managed health care plan, it means that you:

a)

Usually must first meet with your primary health care physician

b)

Can go to any doctor at any time

c)

Will be responsible for $100 of a doctor bill

d)

Can apply for an 80% reimbursement of the amount paid to the doctor

10.

Matt's wallet, with all his credit cards, was stolen. He needs to:

a)

Notify the credit card companies after he gets his next account statements to get the 800 telephone numbers to report the stolen card

b)

Check the next account statements for unauthorized charges and, if so, file a complaint with the credit card company

c)

Nothing because retailers will not accept charges by someone who does not own the card

d)

Notify each credit card company immediately

11.

Which of the following is your right as a shareholder of common stock?

a)

The right to hire officers of the corporation

b)

The right to receive dividends if paid

c)

The right to receive discounts on products or services

d)

The right to receive interest payments

12.

How can individuals be prepared for losing their job or having a large medical expense?

a)

Maintain a checking account with sufficient funds

b)

Pay credit card bills on time

c)

Prepare a budget

d)

Save at least three months of income

13.

A savings account earns the greatest amount of money when the interest on the account is compounded

a)

yearly

b)

quarterly.

c)

monthly.

d)

daily.

14.

Purchases made with your debit card are usually:

a)

Deducted immediately from your checking account

b)

Deducted from your credit card balance

c)

Added to your credit card balance

d)

Put on your credit card bill as a cash advance