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Post-Test Review 2

Total questions: 13

Worksheet time: 6mins

Name
Class
Date
1.

This type of business is a great example of one that engages in Price Competition.

a)

Dine-In Restaurants

b)

Gas Stations

c)

Jewelry Stores

d)

Hair Studios

2.

A business who competes with other businesses by working hard to gain/retain customers by offering great customer service is utilizing Non-Price-Competitive Strategies.

a)

True

b)

False

3.

I have $1500 to purchase an investment. I choose to invest $500 in investment A, $1000 in investment B and therefore, I cannot invest in C. C is considered the _____.

a)

Next Choice

b)

Least Favorable Investment

c)

Opportunity Cost

d)

Most Favorable Investment

4.

Defaulting is _____.

a)

when a borrower fails to pay what is owed.

b)

an asset that is linked to a loan.

c)

Making a mistake.

d)

good for your credit score.

5.

The three major Credit Bureaus include Transunion, Equifax and Equity.

a)

True

b)

False

6.

A high credit score is best and will earn you a high interest rate.

a)

True

b)

False

7.

As an individual trying to establish credit, it is wise to pay bills on time, own a minor credit card (like Kohl's credit card), have a loan with a co-signer and/or have secured credit.

a)

True

b)

False

8.

The government agency that regulates the securities market and protects investors is the _____.

a)

ABC

b)

FTC

c)

ATF

d)

SEC

9.

Owning stock that is not registered with the SEC is the safest type of investment and is guaranteed to produce a high ROI.

a)

True

b)

False

10.

Profits from the sale of a capital asset, such as shares of stock, a business, a parcel of land, or a work of art is called _____.

a)

Rent

b)

Dividends

c)

Interest

d)

Capital Gains

11.

Risk Tolerance is defined as "The amount of risk you are able to handle without being negatively affected by a poor performing investment".

a)

True

b)

False

12.

This independently owned organization tasks itself with supplying the public with a degree of confidence that a business is operating in a trustworthy manner and will make a good faith effort to resolve any customer concerns filed.

a)

FTC

b)

BBB

c)

SEC

d)

Federal Reserve System

13.

An excise tax is a tax paid directly by the consumer at the point of sale.

a)

True

b)

False