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Worksheets

AQR Sem 1 Final

Total questions: 65

Worksheet time: 33mins

Name
Class
Date
1.

Opportunity Cost

a)

the tax rate decreases as the tax base increases

b)

the value of the next-best alternative when a decision is made

c)

Safeguard your personal information

d)

a plan for managing income, spending, and saving during a given period

2.

Stocks

a)

the inventory of dollars at a given time

b)

dollars coming in, usually from working

c)

things that you own such as a house, stocks, bonds, jewelry, cars, money in a savings account, or cash

d)

Monitor your statements and reports

3.

Net Worth

a)

provides benefits for retired workers and their dependents as well as for the disabled and their dependents. Also known as the Federal Insurance Contributions Act (FICA) tax.

b)

Monitor your statements and reports

c)

the value of a person’s assets minus the value of his or her liabilities

d)

the tax rate stays the same for all tax base amounts

4.

Assets

a)

Safeguard your personal information

b)

protection from possible financial loss

c)

things that you own such as a house, stocks, bonds, jewelry, cars, money in a savings account, or cash

d)

all income received (gross income) minus taxes

5.

Liabilities

a)

the tax rate increases as the base increases

b)

things you owe, such as unpaid bills, a mortgage, a car loan, or unpaid taxes

c)

investing in various financial instruments to reduce risk

d)

the knowledge and skills that people obtain through education, experience, and training

6.

Cash Flow

a)

a form of stealing that results in someone gaining access to another person’s personal information

b)

the price of using someone else’s money

c)

your income (dollars coming in, usually from working) minus your expenses (dollars going out, usually to buy goods and services)

d)

an increase in the market value of an asset

7.

Income

a)

a specified amount of money that the insured must pay before an insurance company will pay a claim

b)

using some or all of your income to buy things you want now

c)

dollars coming in, usually from working

d)

the knowledge and skills that people obtain through education, experience, and training

8.

Expenses

a)

the income a person receives from certain bank accounts or from lending money to someone else.

b)

dollars going out, usually to buy goods and services

c)

investing in various financial instruments to reduce risk

d)

an increase in the market value of an asset

9.

Appreciation

a)

dollars coming in, usually from working

b)

an increase in the market value of an asset

c)

compensation received by an employee for services performed. A salary is a fixed sum paid for a specific period of time worked, such as weekly or monthly.

d)

investing in various financial instruments to reduce risk

10.

Depreciation

a)

payments made by the government to people who do not supply goods or services or labor in exchange for those payments

b)

your income (dollars coming in, usually from working) minus your expenses (dollars going out, usually to buy goods and services)

c)

a ratio that describes how much larger or smaller an object becomes from its original size

d)

a decrease in the market value of an asset

11.

Return

a)

include Social Security and Medicare taxes

b)

the return on an asset over a given period divided by the market value (the price it can be sold for in a market) of the asset at the beginning of that period

c)

individuals willing to take risks to develop new products and start new business

d)

the income the asset generates, if any, during a given period (such as a year) plus any appreciation or depreciation in the market value of the asset during that period

12.

Rate of Return

a)

investing in various financial instruments to reduce risk

b)

assets the individual owns that could be sold to repay the loan

c)

the return on an asset over a given period divided by the market value (the price it can be sold for in a market) of the asset at the beginning of that period

d)

a general, sustained upward movement of prices for goods and services in an economy

13.

Inflation

a)

money and goods received for services performed by food servers, baggage handlers, hairdressers, and others. Tips go beyond the stated amount of the bill and are given voluntarily

b)

individuals willing to take risks to develop new products and start new business

c)

the price producers pay to use human resources

d)

a general, sustained upward movement of prices for goods and services in an economy

14.

Real Rate of Return

a)

the granting or money (or something else of value) in exchange for a promise of future repayment

b)

the rate of return on the investment minus the inflation rate

c)

 a payment made by a beneficiary (especially for health services) in addition to that made by an insurer

d)

assets the individual owns that could be sold to repay the loan

15.

Expected Rate of Return

a)

 a person, other than the taxpayer or spouse, who entitles the taxpayer to claim a dependency exemption.

b)

the amount you anticipate receiving on an investment based on the probable rates of return (often based on how the asset performed in the past)

c)

compensation received by an employee for services performed. A salary is a fixed sum paid for a specific period of time worked, such as weekly or monthly

d)

a decrease in the market value of an asset

16.

Wages

a)

the amount people earn before any deductions or taxes are paid

b)

the price producers pay to use human resources

c)

a decrease in the market value of an asset

d)

a plan for managing income, spending, and saving during a given period

17.

Human Capital

a)

an increase in the market value of an asset

b)

individuals willing to take risks to develop new products and start new business

c)

a collection of personal principles and preferences that guide people’s behavior

d)

the knowledge and skills that people obtain through education, experience, and training

18.

Productivity

a)

your income (dollars coming in, usually from working) minus your expenses (dollars going out, usually to buy goods and services)

b)

the knowledge and skills that people obtain through education, experience, and training

c)

using some or all of your income to buy things you want now

d)

the amount of output that can be produced by those workers in a given amount of time

19.

Entrepreneurs

a)

individuals willing to take risks to develop new products and start new business

b)

the tax rate decreases as the tax base increases

c)

using some or all of your income to buy things you want now

d)

the tax rate increases as the base increases

20.

Transfer Payments

a)

a payment made by a beneficiary (especially for health services) in addition to that made by an insurer

b)

the value of the next-best alternative when a decision is made

c)

payments made by the government to people who do not supply goods or services or labor in exchange for those payments

d)

the price producers pay to use human resources

21.

Income Distribution

a)

the way income is distributed among individuals in a society

b)

the tax rate decreases as the tax base increases

c)

the chance of loss

d)

Implement your defense

22.

Progressive Tax

a)

the return on an asset over a given period divided by the market value (the price it can be sold for in a market) of the asset at the beginning of that period

b)

 Monitor your statements and reports

c)

the knowledge and skills that people obtain through education, experience, and training

d)

the tax rate increases as the base increases

23.

Proportional (Flat) Tax

a)

all income received (gross income) minus taxes

b)

Safeguard your personal information

c)

the tax rate stays the same for all tax base amounts

d)

a general, sustained upward movement of prices for goods and services in an economy

24.

Regressive Tax

a)

the tax rate decreases as the tax base increases

b)

interest income that is not subject to income tax. Is earned from bonds issued by states, cities, or counties and the District of Columbia.

c)

the knowledge and skills that people obtain through education, experience, and training

d)

used to provide medical benefits for certain individuals when they reach age 65. Workers, retired workers, and the spouses of workers and retired workers are eligible to receive Medicare benefits upon reaching age 65.

25.

Gross Income

a)

the amount people earn before any deductions or taxes are paid

b)

not spending on current consumption

c)

the individual’s reliability to repay the loan

d)

interest income that is subject to income tax. All interest income is taxable unless specifically excluded.

26.

Net (Disposable) Income

a)

the amount of output that can be produced by those workers in a given amount of time

b)

The payment for insurance

c)

using some or all of your income to buy things you want now

d)

all income received (gross income) minus taxes

27.

Spending

a)

using some or all of your income to buy things you want now

b)

giving up some of one thing to gain some of something else

c)

a ratio that describes how much larger or smaller an object becomes from its original size

d)

a specified amount of money that the insured must pay before an insurance company will pay a claim

28.

Saving

a)

not spending on current consumption

b)

compensation received by an employee for services performed. Paid based on a percentage of sales made or a fixed amount per sale

c)

the amount of output that can be produced by those workers in a given amount of time

d)

the value of a person’s assets minus the value of his or her liabilities

29.

Budget

a)

the income the asset generates, if any, during a given period (such as a year) plus any appreciation or depreciation in the market value of the asset during that period

b)

the way income is distributed among individuals in a society

c)

the value of a person’s assets minus the value of his or her liabilities

d)

a plan for managing income, spending, and saving during a given period

30.

Trade-Off

a)

include Social Security and Medicare taxes

b)

giving up some of one thing to gain some of something else

c)

interest income that is not subject to income tax. Is earned from bonds issued by states, cities, or counties and the District of Columbia

d)

a payment made by a beneficiary (especially for health services) in addition to that made by an insurer

31.

Interest

a)

the chance of loss

b)

compensation received by an employee for services performed. Given in addition to an employee's usual compensation

c)

the price of using someone else’s money

d)

a decrease in the market value of an asset

32.

Marginal Satisfaction

a)

the tax rate decreases as the tax base increases

b)

the extra satisfaction from consuming 1 more unit of some good or service

c)

The payment for insurance

d)

the tax rate stays the same for all tax base amounts

33.

Diminishing Return

a)

each additional unit of a good adds less satisfaction than the one before it

b)

the quality that makes an asset easily converted into cash with little loss of value in the conversion process—that is, how easy is it to liquidate the investment

c)

money and goods received for services performed by food servers, baggage handlers, hairdressers, and others. Tips go beyond the stated amount of the bill and are given voluntarily

d)

the amount you anticipate receiving on an investment based on the probable rates of return (often based on how the asset performed in the past)

34.

the percentage of your income that you save

a)

Saving Rate

b)

Diminishing Return

c)

Stocks

d)

Phishing

35.

a ratio that describes how much larger or smaller an object becomes from its original size

a)

Credit Score

b)

Social Security Tax

c)

Real Rate of Return

d)

Scale Factor

36.

the chance of loss

a)

Premium

b)

Risk

c)

Transfer Payments

d)

Proportional (Flat) Tax

37.

someone who would rather avoid or lower the risk of loss

a)

Return

b)

Identity Theft

c)

Risk Averse

d)

Appreciation

38.

investing in various financial instruments to reduce risk

a)

Costs

b)

Capacity

c)

Diversification

d)

Net (Disposable) Income

39.

the quality that makes an asset easily converted into cash with little loss of value in the conversion process—that is, how easy is it to liquidate the investment

a)

Liabilities

b)

Real Rate of Return

c)

Tip Income

d)

Liquidity

40.

charges, fees, or other expenses associated with buying, selling, or holding an investment

a)

Wages

b)

Costs

c)

Inflation

d)

Interest

41.

the individual’s ability to repay a loan

a)

Income

b)

Capacity

c)

Appreciation

d)

Real Rate of Return

42.

the individual’s reliability to repay the loan

a)

Character

b)

Defend

c)

Saving

d)

Diminishing Returns

43.

assets the individual owns that could be sold to repay the loan

a)

Rate of Return

b)

Progressive Tax

c)

Identity Theft

d)

Collateral

44.

an indication of “character” because it indicates a person’s reputation for paying bills and debts based on past behavior

a)

Liabilities

b)

Phishing

c)

Diminishing Returns

d)

Credit Score

45.

the granting or money (or something else of value) in exchange for a promise of future repayment

a)

Income

b)

Credit

c)

Human Capital

d)

Entrepreneurs

46.

 a form of stealing that results in someone gaining access to another person’s personal information

a)

Trade-Off

b)

Progressive (Flat) Tax

c)

Identity Theft

d)

Saving

47.

when someone attempts to get your personal information by pretending to work for a legitimate or legitimate-sounding organization, such as a bank or the government

a)

Phishing

b)

Taxable Interest Income

c)

Saving

d)

Risk

48.

Safeguard your personal information

a)

Credit

b)

Deter

c)

Trade-Off

d)

Risk

49.

Monitor your statements and reports

a)

Insurance

b)

Deter

c)

Saving Rate

d)

Detect

50.

Implement your defense

a)

Budget

b)

Defend

c)

Credit Score

d)

Income Distribution

51.

protection from possible financial loss

a)

Saving

b)

Insurance

c)

Credit Score

d)

Gross Income

52.

The payment for insurance

a)

Income

b)

Liquidity

c)

Cash Flow

d)

Premium

53.

a payment made by a beneficiary (especially for health services) in addition to that made by an insurer

a)

Spending

b)

Expected Rate of Return

c)

Copay

d)

Tax-Exempt Interest Income

54.

a specified amount of money that the insured must pay before an insurance company will pay a claim

a)

Deductible

b)

Net (Disposable) Income

c)

Defend

d)

Proportional (Flat) Tax

55.

a collection of personal principles and preferences that guide people’s behavior

a)

Credit

b)

Trade-Off

c)

Value System

d)

Tax-Exempt Interest Income

56.

used to provide medical benefits for certain individuals when they reach age 65. Workers, retired workers, and the spouses of workers and retired workers are eligible to receive Medicare benefits upon reaching age 65.

a)

Medicare Tax

b)

Risk

c)

Commission

d)

Income

57.

provides benefits for retired workers and their dependents as well as for the disabled and their dependents. Also known as the Federal Insurance Contributions Act (FICA) tax

a)

Marginal Satisfaction

b)

Interest Income

c)

Social Security Tax

d)

Interest

58.

 compensation received by an employee for services performed. Given in addition to an employee's usual compensation

a)

Trade-Off

b)

Bonus

c)

Productivity

d)

Social Security Tax

59.

compensation received by an employee for services performed. Paid based on a percentage of sales made or a fixed amount per sale

a)

Budget

b)

Commission

c)

Identity Theft

d)

Liabilities

60.

compensation received by an employee for services performed. A fixed sum paid for a specific period of time worked, such as weekly or monthly

a)

Risk Averse

b)

Expected Rate of Return

c)

Tip Income

d)

Salary

61.

money and goods received for services performed by food servers, baggage handlers, hairdressers, and others. Tips go beyond the stated amount of the bill and are given voluntarily.

a)

Progressive Tax

b)

Risk

c)

Tip Income

d)

Diversification

62.

the income a person receives from certain bank accounts or from lending money to someone else.

a)

Insurance

b)

Income Distribution

c)

Interest Income

d)

Return

63.

interest income that is subject to income tax. All interest income is taxable unless specifically excluded.

a)

Expected Rate of Return

b)

Budget

c)

Deter

d)

Taxable Interest Income

64.

interest income that is not subject to income tax. Is earned from bonds issued by states, cities, or counties and the District of Columbia

a)

Tax-Exempt Interest Income

b)

Dependent

c)

Costs

d)

Net (Disposable) Income

65.

a person, other than the taxpayer or spouse, who entitles the taxpayer to claim a dependency exemption.

a)

Payroll Taxes

b)

Commission

c)

Diminishing Returns

d)

Dependent