What is the difference between gross & net pay?

In relation to buying power, if there are increases in prices, there is a decrease in purchasing power

Imagine that the interest rate on your savings account is 2% per year and the inflation is 3% per year. After one year, would the money in the savings account buy more than it does today, exactly the same or less than today?

How often should you create or assess your budget?

Which of the following resembles a Pay Yourself First philosophy?

When you pay your credit card bill immediately upon receipt, during the grace period, you also

Which statement(s) are true about student loan debt?

What is the most important factor in improving or maintaining a good credit score?

Which of the following are the benefits of having money in an emergency fund?

Savings accounts may be the best choice to keep some money because

When your employer matches your contribution to your retirement account it means all the following except:

The stage of the business cycle at which the economy is as robust as it can get is called the peak.

You should ask permission before listing someone as a reference.

Which of the following is not good advice regarding resumes?

Lifelong learning will help you stay employed and able to earn higher pay and promotions.

The ability to prepare a spreadsheet is an example of a soft skill.

When demand for a product exceeds its supply, businesses will begin charging lower prices for the product.

The ideal length for a submitted resume is two full pages.

A student loan on which interest is not charged is called a grant.

Which of the following is true of a subsidized student loan?

You should not let the state of the economy (stage of the business cycle) affect your spending habits and choices.

Statistics show that the amount and type of education you complete does not significantly affect the amount of money you earn.

Salaried workers usually do not keep time cards or count hours worked and do not receive overtime pay.

With e-filing, refunds may be received much more quickly than when a paper return is filed.

Tips given to a person for performing a service are not subject to federal income taxes.

The following are examples of pay without work except

A property tax is based on the property’s

Small businesses contribute billions of dollars to the U.S. economy and employ more workers than all of the country’s large corporations combined.

With a 401(k) plan, employees can avoid paying income tax on money placed in the account until it is withdrawn.

Which of the following is not an optional deduction from your pay?

A business that starts small but is designed for unlimited growth is called

Perks provide emotional satisfaction or social status rather than money.

HIPAA of 1996 protects your health and billing information, including information stored on a computer network, by limiting who can have access to it.

Which of the following is a increase in pay keeps pace with inflation but does not provide more purchasing power?

Consumers are said to be optimizing when they are seeking to get the highest value for the money spent.

When gasoline prices fall and jump back up again, this is an example of

When a producer sets prices to be competitive with prices of similar products currently being sold, the producer is using

Which of the following is a measure of inflation?

When prices are rising faster than income, buyers gain purchasing power.

Businesses need a normal profit in order to stay in business.

The following is included when calculating the countries GDP

This is an illegal sales technique in which a business advertises a product with the intent of persuading consumers to buy a more expensive product.

Which of the following would be considered a fixed expense?

The amount owed on your credit card is an example of a liability.

What should you do if your budget does not balance?

With every buying decision, there is a tradeoff and an opportunity cost.

A utility bill is an example of

Your net worth can be computed as

When a paper check is transformed into a digital image, it is said to be

A CD is a great savings option if you want to have immediate access to the money.

A U.S. savings bond is sold at a discount and grows to its face value over time.

A depositor may double the amount his or her funds are insured by the FDIC by placing the maximum insurable amount in each of two banks.

When you purchase a savings bond, you are loaning money to the government.

A checking account is also called a demand deposit account because the account holder may withdraw money on demand or write checks on the account at any time.

Which of the following is the most liquid?

By insuring deposits in banks, the FDIC helps to promote public confidence in the U.S. financial system.

Overdraft protection helps you avoid

Buying insurance is an example of which risk strategy?

Self-insuring is an example of which risk strategy?

The beneficiary is the person covered by a life insurance policy.

A plan for sharing the risk of medical costs resulting from injury or illness

Protection against injuries suffered by others while on your property or as a result of your actions

A list of items of value in your home used for insurance purposes

What is a premium?

Which is NOT a way to lower the cost of an insurance plan

At what age does an individual’s insurance premium usually decline dramatically?

Which of the following is not a benefit of using credit cards?

Which of the following is true of a payday loan?

Service credit is often provided by utility companies and doctors.

A buying plan focuses only on items that you can afford to buy now.

Which of the following is not a reward of being financially responsible?

Finance charges increase the cost of items purchased by a credit card.

The balance on a charge card must be paid in full each month.

Late credit card payments can

The amount of time you have to pay your credit card balance in full to avoid paying interest is called a grace period.

A landlord must keep tenants’ security deposits in a separate account and refund any nonused portions.

When you owe more on a car than it is worth, the loan is said to be

When tenants decide to move out voluntarily, they generally must give a

A lease payment on a car is typically much more than a monthly car loan payment.

When you are notified that the interest rate on your credit card is going up, you must either accept the change or cancel the card.

Which of the following is a justifiable reason for not refunding a tenant’s security deposit?

You should establish and maintain an amount of unused credit available for use in emergencies.

Many car buyers seek to obtain a preapproved loan so that they know the maximum amount they will be able to borrow in advance.

Cash advances obtained through your credit card usually have a high fee of 6 percent or more but carry a lower interest rate than regular credit card purchases.

Which of the following is not a right of a landlord?