WorksheetsResource Management Final Spring 2023
Total questions: 25
Worksheet time: 13mins
Name
Class
Date
1.
1. A savings account that pays interest every three months is said to have a _____ interest period.
a)
quarterly
b)
monthly
c)
semiannual
d)
daily
2.
2. A savings account that pays interest every month is said to have a _____ interest period.
a)
quarterly
b)
monthly
c)
semiannual
d)
daily
3.
3. Catherine is buying a new TV and is looking for the best loan to pay for her purchase. What loan should she choose?
a)
Loan with the lowest APR
b)
Loan with the highest APY
c)
Loan with the highest APR
d)
Loan with the lowest APY
4.
4. ABC Bank is getting ready to offer special interest rates for its student savings accounts. How should the bank advertise its rates in order to encourage people to save money with ABC Bank?
a)
Account with the lowest APR
b)
Account with the highest APY
c)
Account with the highest APR
d)
Account with the lowest APY
5.
5. Cassidy is buying a house and is looking for the best home loan to pay for her purchase. What loan should she choose?
a)
Loan with the lowest APR
b)
Loan with the highest APY
c)
Loan with the highest APR
d)
Loan with the lowest APY
6.
6. Which of these options for saving money typically offers the most liquidity?
a)
Certificate of deposit
b)
Money market account
c)
Basic savings account
d)
Savings bond
7.
7.. Which of these options for saving money typically offers the least liquidity?
a)
Certificate of deposit
b)
Money market account
c)
Basic savings account
d)
Savings bond
8.
8. Which of these options for saving money offers the most liquidity?
a)
Piggy bank
b)
Money market account
c)
Basic savings account
d)
Savings bond
9.
9. Which of the following will typically offer the lowest interest rate?
a)
Savings bond
b)
Certificate of deposit
c)
Money market savings
d)
Basic savings
10.
10. The value of a bond that is paid back at maturity is known as _____.
a)
coupon
b)
maturity value
c)
interest
d)
face value
11.
11. A portion or share of ownership in a corporation is called a _____.
a)
stock
b)
bond
c)
percentage
d)
shareholder
12.
12. An owner of stocks is known as a _____.
a)
stock
b)
bond
c)
percentage
d)
shareholder
13.
13. What are the two most important factors in calculating your credit score?
a)
Payment history and types of accounts
b)
Amounts owed and length of credit history
c)
Payment history and amounts owed
d)
Length of credit history and new credit inquiries
14.
14. Which of the following statements about credit scores does this bar graph support?
a)
Credit scores tend to drop as you grow older because you are more likely to miss a payment at some point
b)
It is more difficult for young people to borrow (i.e., get a loan) because they have less payment history for a lender to rely upon
c)
When young people borrow, they are likely to have lower interest rates because their credit scores are lower
d)
It is easier for young people to get loans at lower interest rates because they are likely to have never been late with a payment
15.
15. Your teacher tells you about the importance of checking your credit report. Which government-run website allows you to download your credit report for free on an annual basis?
a)
creditkarma.com
b)
freecreditreport.com
c)
getcreditreportshere.com
d)
annualcreditreport.com
16.
16. Your friend confides in you that he has a low credit score. What is the single best way for him to improve his score?
a)
Cancel his credit cards
b)
Make on-time payments
c)
Get a car loan
d)
Check his credit score
17.
17. Melvin is 19 years old and wants to begin establishing a credit history. Which action should he take to meet that goal?
a)
Always say "credit" when asked "credit or debit?" at a store
b)
Ask his parents to cosign a credit card or add him as an authorized user on their credit card
c)
Any time he borrows money from a friend or family member, be sure to pay it back promptly
d)
Take out some private student loans, even though he doesn't need them because he has grants and scholarships
18.
18. Which of the following individuals or groups would be the LEAST likely to look at your credit score?
a)
Employers
b)
Credit card companies
c)
Auto insurers
d)
A bank representative who is helping you open a savings account
19.
19. You have a credit card and want to know the best way to use it to boost your credit score. Which step will have the GREATEST impact?
a)
Using less than 30% of the credit limit on your card and paying it off in full every month by the due date
b)
Always carry a balance from month to month
c)
Make the minimum payment required on your credit card every month by the due date
d)
Put the credit card in a drawer and don't ever use it
20.
20. I forgot to pay my credit card bill one month. For how long will that payment information show up on my credit report?
a)
Once I make the payment, it will disappear
b)
One year
c)
Seven years
d)
Ten years
21.
21. The length of time you have to pay off the balance before the bank starts charging interest is known as _____.
a)
payment period
b)
grace period
c)
annual fee
d)
annual percentage rate
22.
22. Which of the following is an advantage to using cash?
a)
may have protection when stolen
b)
good record keeping
c)
no debt
d)
rewards
23.
23. Which of the following is not a valid FICO credit score?
a)
285
b)
385
c)
475
d)
575
24.
24.
a)
poor
b)
fair
c)
good
d)
excellent
25.
25. The main difference between a secured and an unsecured loan is that the secured loan _____.
a)
has a higher interest rate
b)
requires a cosigner
c)
includes a pledge of collateral
d)
offers protection against identity theft
100 %
