WorksheetsFINANCIAL LITERACY FINAL EXAM PART ii
Total questions: 40
Worksheet time: 20mins
Money that you earn back from education or training is called return on _______________________.
capital
credit
investment
finance
The Truth in Lending Law states:
financial institutions must charge a certain percentage rate on loans
financial institutions must charge a minimum amount on loans
financial institutions must give 90 days
financial institutions must disclose the true APR they charge
The interest rate charged by credit card companies on any balance not paid in full is called:
finance charge
annual percentage rate
grace period charge
credit rating
Which is a disadvantage of using CREDIT?
buy now pay later
can help you establish a credit record
convenience
can lead to a poor credit record if credit isn;t used properly
Which of the following is a line of credit that charges interest?
debit card
credit card
What will NOT lead to debt on your credit card?
pay the minimum monthly payment each month
pay late
charge up to your credit limit
none of these
Which form is needed to for Federal Student Loans?
FAFLA
FALSA
FAFSA
FASFA
Which is better for financing your education?
subsidized loan
unsubsidized loan
payday lender loan
credit card loan
A summary of your education, training, experience and qualifications:
cover letter
resume
interview
none of these
How early should you arrive for an interview? Select the best choice:
half-hour
one hour
ten minutes
twenty minutes
Protection against possible financial loss is called:
premium
claim
mortgage
insurance
A request for an insurance company to cover a financial loss is called:
premium
deductible
security deposit
claim
A fee for insurance is called a:
claim
premium
personal property floater
security deposit
Which is true about fixed and adjustable rate mortgages?
a fixed rate mortgage can change as the interest rate changes
an adjustable rate mortgage can change as the interest rate changes
a fixed rate mortgage is more volatile
an adjustable rate mortgage is safer for your mortgage
Most mortgages are for how many years?
15
30
15 or 30
25
Additional property insurance that covers the damage/loss of an item of high value:
personal presentation policy
personal property floater
premium floater
excess insurance policy
Renter's insurance includes:
personal property protection
additional living expenses
personal liability and related coverages
all of these
A loan for real estate is called a(n):
mortgage
credit rating
home equity loan
down payment
What is your homeowner's insurance based on?
the amount needed to repair or replace your home if it becomes damaged
it is your choice based on how much you purchased the home for
the amount needed to replace the outside structure only
none of these
What will cause your mortgage amount to increase or decrease?
the term of the loan
the interest rate
the down payment
all of these
The amount of money you put down on a rental in case you cause damage in the apartment/house is called:
mortgage
premium
security deposit
claim
A home is a/an:
depreciating asset
appreciating asset
deductible
premium
Which is a depreciating website?
house
car
Which of the following is true of leasing a car?
there are usually maximum mileage agreements
you will pay additional money if you go over the mileage agreement
leasing a car is a way to get a lower monthly payment, but the overall cost may be greater in the long term
all of these are true
Speeding tickets will cause your insurance to:
go down
go up
stay the same-no effect; that is what insurance is for!
none of these
Which type of health insurance plan is the most affordable?
POS
PPO
HMO
HPO
Which health insurance combines features of the HMO and PPO?
Preferred Provider Organization
Health Maintenance Organization
Physician Protocol Organization
Point of Service Organization
The amount of money a person is required to pay at each doctor visit or for a prescription is called:
coinsurance
copayment
deductible
claim
The portion of health care costs for which the covered person is responsible is called:
copayment
claim
coinsurance
none of these
This policy allows continuation of your health care benefits if you become unemployed:
HMO
POS
COBRA
Worker's Compensation
This insurance covers your loved ones in case of your death:
health insurance
life insurance
disability insurance
homeowner's insurance
A set amount that a policyholder must pay per loss on an insurance policy:
claim
premium
copayment
deductible
Which provides a death benefit if you die during the term, but doesn't accumulate a cash value?
term life insurance
whole or permanent life insurance
disability insurance
worker's compensation insurance
At which age can you stay on your parent/guardian's insurance policy til?
23
24
25
26
Which type of insurance provides replacement income if you have an accident or illness?
personal injury protection
personal property floater
comprehensive
disabiility
Disability insurance is:
always provided by the employer
not provided by Social Security
sometimes provided by Social Security if strict guidelines are met
none of these is true
Which has the greatest liquidity out of these accounts?
money market account
certificate of deposit
savings
checking
Advantages of leasing a car is:
being able to sell it later to make money
lower monthly payments
no long term commitments
all of these
You can write checks from:
checking
money market account
both checking and MMA
none of these
You should "shop around" for different interest rates at various banks to maximize your earning power on your investments.
TRUE
FALSE
