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Chapter 6 Review

Total questions: 13

Worksheet time: 18mins

Name
Class
Date
1.

How much does a car depreciate in the first year?

a)

10%

b)

15%

c)

25%

d)

30%

2.

How much should you spend on a car per paycheck?

a)

Less than 15-20%

b)

Less than 21-25%

c)

Less than 26-30%

d)

Less than 20-30%

3.

What is the biggest cost of buying a new car?

(a)  

4.

When is it better to rent instead of buying a home? When you're living there ...

a)

3 years or less

b)

4 -5 years

c)

6-10 years

d)

It's always better to buy

5.

What is a Loss Leader?

4 lines
6.

What is a requirement if you do not provide 20% down on a mortgage?

(a)  

7.

What is the most common length of mortgage?

4 lines
8.

Which home loan provides 100% financing?

(a)  

9.

What is a reverse mortgage?

4 lines
10.

Describe a variable interest rate mortgage. What is another name for it?

4 lines
11.

A monthly mortgage payment includes everything except...

a)

Sales Tax

b)

Property Tax

c)

Property Insurance

d)

Principal and Interest

12.

If you drive 100 miles a month, you get 10 miles/gal, and gas costs $2.00/gal, how much do you pay in a year?

a)

$24

b)

$20

c)

$2400

d)

$240

13.

Which vehicle has a higher repair cost?

a)

New

b)

Used

c)

Certified Pre Owned

d)

New (Leased)