NEW
Font size
WorksheetsEverfi Financial Literacy Final Exam
Total questions: 25
Worksheet time: 13mins
Which of the following is NOT a common feature of a financial institution?
Access to investment products
Paper checks
Access to ATM's
Direct deposit
Which of the following financial institutions typically have the highest fees?
Check cashing and payday loan companies
Credit Unions
Brick and Mortar Banks
Internet Banks
If there is a mistake with one of your bank accounts, who should you contact to resolve the issue?
The CFPB
No one. You can't resolve the issue
The police
Your financial institution
Which of the following is a benefit of using a budget?
Helps to keep track of the money you receive
Helps to prioritize your spending
Helps to set short term and long term financial goals
All of the above
Which of the following should NOT be considered when setting a current budget?
Needs and wants
Your financial goals
future income
Savings
Which of the following is NOT a good way to track your spending?
In your head
Pencil and paper
Envelope method
Online software or app
When you are deciding what to buy, you should not...
compare the unit price of similar items
read reviews from unbiased sources
assume that buying the cheapest item is the best choice
wait for sales to get the best price
How is a post from a social media influencer different than a comment from a regular consumer?
It isn't any different
The post from the influencer is likely one-sided
The post by the influencer may have been posted by the seller
The influencer is paid to post the product
Which payment option could have interest charged to you?
cash
check
debit card
credit card
When are loans a good option to use?
to pay for a dream vacation
When paying for higher education
to buy a new TV
To pay for a wedding
Which item is important to consider when selecting a credit card?
Annual Percentage Rate (APR)
Fees
The look of the credit card
Both APR and Fees
The cost of a secured loan is typically lower than the cost of an unsecured loan because _______.
it requires collateral
the loan takes longer to get
it has high interest rates
your parents will make sure you pay it back
Which of the following statements is true about education and lifetime earnings?
Generally, the more education you receive, the higher your lifetime earnings will be
There is no relationship between the level of education received and lifetime earnings.
Generally, the less education you receive, the higher your lifetime earnings will be.
Generally, the more education you receive, the lower your lifetime earnings will be.
The amount of money you're paid, after all taxes and deductions are taken out of your paycheck is called ________.
gross pay
net pay
total pay
year to date pay
Which of the following is NOT a possible tax or deduction that could be withdrawn from your paycheck?
FICA
Overtime pay
Federal income tax
State income tax
What does the W-2 form tell you?
How much you've earned and how much taxes were taken out of your paycheck in the last year
When to file your tax return
How much your employer can withhold from your paycheck
How often your employer will be paying you
Making the choice to spend money on post secondary education pays off in the long run because:
You or your parents can write it off your taxes.
You can get grants and scholarships to pay for post secondary education while you are there.
The salary you will earn with a degree will pay back the cost of college over your career
There are less expensive options for earning a post secondary education
What are the benefits of attending a local community college?
It is cheaper to earn an Associate’s degree at a community college and then transfer to a four-year college to finish.
You can live at home and save dorm fees while earning an Associate’s degree.
Choosing a local community college within closer driving range saves on transportation costs.
All of the above
Which is a tax-free savings account that can only used for educational expenses?
Federal grants
Merit based scholarships
FAFSA
A 529 Plan
All of the following are true about the Free Application for Federal Student Aid (FAFSA) EXCEPT:
The form is only available online
The earliest you can submit your FAFSA is October 1st of each year.
You can fill out the FAFSA if your are dependent or independent
States have different deadlines for applying for financial aid.
What do taxes pay for?
Privately owned businesses
emergency services, Schools, Roads, Government departments
Operation of financial institutions
None of the above
Wearing a seat belt, not texting when driving, and driving carefully are all examples of...
insurance policies
warranties
risk management strategies
deductibles
Why is it important to have insurance?
It's important to have insurance so people can protect themselves from losing a lot of money in the event of an unpredictable event or something happens to them or their property.
. So individuals can defend against the possibility of financial loss due to unpredictable event
So people can engage in risky behavior without financial consequences
Both A and B
When filing an insurance claim, the policyholder must pay a ________________, which is the amount you owe before insurance will cover the rest of the bill.
deductible
premium
contract fee
commission
An insurance premium is...
the amount of money you pay for an insurance policy
the amount of money you have to pay for services before insurance covers the rest
a commission paid to the agency for the purchase of a policy.
an extra fee you need to pay your insurance for filing a claim out of network.
