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Unit 7: Personal Finance

Total questions: 28

Worksheet time: 14mins

Name
Class
Date
1.

Something of value that a borrower lets the lender claim if a loan is not repaid

a)

Mortgage

b)

Principal

c)

Collateral

d)

Credit Card

2.

Which protects consumers from being denied credit based on gender, age, race, national origin, religion, or marital status?

a)

Equal Credit Opportunity Act

b)

Fair Credit Reporting Act

c)

Financial Reform Act

d)

Truth in Lending Act

3.

Amount originally borrowed in a loan

a)

Collateral

b)

Principal

c)

Usury Law

d)

Credit

4.

Installment debt owner on houses, buildings, or land

a)

Mortgage

b)

Credit

c)

Interest

d)

Collateral

5.

Standard of living is

a)

The material well-being of an individual, group, or nation measured by how well their necessities and luxuries are satisfied.

b)

Whatever is owned by individuals rather than the government.

c)

Expansion of the economy to produce more jobs, goods, and wealth.

d)

Ad that attracts consumers with a low-priced product, then tries to sell them a higher-priced product.

6.

Any person or group that buys or uses goods and services to satisfy personal needs and wants is a

a)

Profit

b)

Market

c)

Consumerism

d)

Consumer

7.

A car is an example of a:

a)

consumable good

b)

durable good

c)

normal good

d)

staple good

8.

Goods and services necessary for living, such as food, shelter, and clothing are:

a)

luxuries

b)

needs

c)

staples

d)

wants

9.

The process or activity of using goods is called:

a)

distribution

b)

exchange

c)

production

d)

consumption

10.

A high school student is paid minimum wage to work at a local restaurant. The student's pay would be classified as:

a)

overtime

b)

commission

c)

hourly

d)

salary

11.

The form used to report the taxable income a worker received during a calendar year is:

a)

Form W-4

b)

Form W-2

c)

Form 1040EZ

d)

Form 1099-INT

12.

What type of card is being used when purchases are made and the amount is automatically deducted from the checking account?

a)

Debit Card

b)

Credit Card

c)

Gift Card

d)

Reward Card

13.

When looking at your personal budget projection for the next month, you see that there are more expenses than income. What is the FIRST measure that should be taken to make the budget balance?

a)

Cut back on expenses.

b)

Ask for a cut in work hours.

c)

Take out a loan.

d)

Increase expenses.

14.

What card is BEST to have the ability to buy goods now and pay later?

a)

Debit Card

b)

Gift Card

c)

Credit Card

d)

Rewards Card

15.

Amount the borrower must pay for the use of someone else's funds

a)

Bankruptcy

b)

Credit

c)

Collateral

d)

Interest

16.

Type of loan repaid with equal payments over a specific period of time

a)

Unsecured Loan

b)

Installment Debt

c)

Interest

d)

Durable Goods

17.

Loan that is backed up by collateral

a)

Usury Law

b)

Secured Loan

c)

Credit

d)

Unsecured Loan

18.

Cost of credit expressed as a yearly percent

a)

Credit Rating

b)

Finance Charge

c)

Annual Percentage Rate (APR)

d)

Installment Debt

19.

Investigation of a person's income, current debts, personal life, and past history of borrowing and repaying debts.

a)

Credit Card

b)

Credit Bureau

c)

Credit Check

d)

Credit Union

20.

Loan guaranteed only by a promise to repay it

a)

Unsecured Loan

b)

Usury Loan

c)

Interest

d)

Secured Loan

21.

Where consumers go to borrow money - banks, mortgage companies, etc

a)

Financial Risk

b)

Payback Method

c)

Primary Market

d)

Pure Risk

22.

Which of the following is the BEST choice as a financial service provider?

a)

Loan Shark

b)

Pawn Shop

c)

Credit Union

d)

Stock Market

23.

Federal or state chartered financial institutions accepting deposits that they use to make loans and earn profits are known as:

a)

finance companies

b)

investment companies

c)

commercial banks

d)

credit unions

24.

The person who places money in the stock market is known as a/an:

a)

mediator

b)

agent

c)

banker

d)

investor

25.

What professional would a potential investor see when debating on investing in the stock market?

a)

Stock Holder

b)

Stock Employer

c)

Stock Exchange

d)

Stock Broker

26.

In a corporation, a unit of ownership is called a:

a)

deed

b)

dividend

c)

share

d)

title

27.

Anything for which a person is legally bound or responsible

a)

Risk

b)

Liability

c)

Pure Risk

d)

Legal

28.

Money income a person has left to spend after necessities have been bought is

a)

Disposable Income

b)

Rational Choice

c)

Traditional Economy

d)

Discretionary Income