wayground logo

Free Printable Worksheets

Font size

S
M
L
XL
Worksheets

Personal Finance 2nd Period 2nd Semester - Final Exam

Total questions: 77

Worksheet time: 39mins

Name
Class
Date
1.

If income exceeds expenses, which of the following is recommended?

a)

Go on vacation

b)

Decrease income sources

c)

Increase income sources

d)

Research investment and savings options

2.

Which of the following equations calculates net pay?

a)

Deductions - gross pay = net pay

b)

Deductions + taxes paid = net pay

c)

Withholdings + tax deductions = net pay

d)

Gross pay - deductions = net pay

3.

Which of the following are prepaid debit cards reloaded with employee wages?

a)

Debit cards

b)

Direct cards

c)

Monetary cards

d)

Payroll cards

4.

Mandated deductions are NOT influenced by which of the following?

a)

Marital status

b)

Income level

c)

Exemptions

d)

Age

5.

Match the following forms of payment to their descriptions.

a)

Commission

1.

Salary

b)

Salary

2.

Wages

c)

Incentives

3.

Commission

d)

Wages

4.

Incentives

6.

Word bank: organization, Compensation, monetary 1. __________ is a systematic method for providing __________ and non-monetary value to employees in exchange for services provided to the __________.

a)

Compensation 2. monetary 3. organization

b)

organization 2. Compensation 3. monetary

c)

monetary 2. organization 3. Compensation

d)

Compensation 2. organization 3. monetary

7.

Which of the following is NOT information included in a W-4 form?

a)

Credit card debt

b)

Number of dependents

c)

Designated additional withholding amounts

d)

Marital status

8.

Select all of the following which are NOT types of benefit forms provided by a company.

a)

Life insurance

b)

Renters insurance

c)

Retirement plans

d)

Health insurance

e)

Social security

9.

Net pay is the total amount an employee is paid before mandated and voluntary deductions.

a)

True

b)

False

10.

Which of the following correctly defines withholdings?

a)

The percentage of an employee’s yearly raise

b)

The legal right of an employee to earn money

c)

The amount of money an employee earns each year

d)

Amount of wages which are not included in an employee’s paycheck

11.

Which of the following is NOT considered a mandated deduction?

a)

Social Security tax

b)

Federal income tax

c)

Medicare tax

d)

Sales tax

12.

1. ________ is a mandatory document to be completed upon ________ of an employee. This document informs employers how much they need to ________ from a paycheck for ________ income tax.

a)

Form W-4 2. Hire 3. Deduct 4. Federal

b)

Form 1099 2. Termination 3. Add 4. State

c)

Form W-2 2. Promotion 3. Increase 4. Local

d)

Form 1040 2. Transfer 3. Multiply 4. City

13.

Some states do NOT collect state income tax.

a)

True

b)

False

14.

Select all of the following which are advantages to salaried employees.

a)

Better access to benefit packages and retirement plan options

b)

May be exempt from earning overtime

c)

Same income even when working less than 40 hours per week

d)

Larger bonuses and more paid vacation

15.

What is the overtime pay rate?

a)

Double pay

b)

Bonus pay

c)

Triple pay

d)

Time-and-a-half

16.

Commission is the sum of money paid to an employee upon the completion of a task, typically selling a certain amount of goods or services.

a)

True

b)

False

17.

Which of the following is meant to motivate an employee to exceed organizational expectations?

a)

Health insurance

b)

Paid leave

c)

Flexible spending account

d)

Incentives

18.

Which of the following best describes a pension plan?

a)

A wage replacement program for employees who suffer from job-related injuries

b)

A type of disability insurance which provides employees a partial salary if they become unable to work due to illness

c)

A form of retirement plan in which employers contribute money to a plan which provides employees a monthly income during retirement

d)

A monetary safety net for a beneficiary upon the death of an employee

19.

The electronic transfer of wages into an employee’s account refers to which of the following?

a)

Automatic teller

b)

Electronic funds wiring

c)

Direct deposit

d)

Payroll debit

20.

Derek is paid $550 per week but only brings home due to deductions. Which of the following is Derek’s net earnings?

a)

$925

b)

$175

c)

$375

d)

$550

21.

Which form is an employee required to turn in when filing taxes?

a)

Form I-9

b)

Form W-4

c)

Form W-2

d)

Form 1040

22.

Mark the following statements as True or False. Employees can deny participation in benefits programs.

a)

True

b)

False

23.

Mark the following statements as True or False. 25 percent of employees in the United States are paid by direct deposit.

a)

True

b)

False

24.

Mark the following statements as True or False. All states withhold state tax.

a)

True

b)

False

25.

Which of the following verifies the identity and eligibility of an employee to work in the United States?

a)

Form 1040

b)

Form I-9

c)

Form W-2

d)

Form W-4

26.

If Peyton earns every other week but only brings home due to deductions, what is Peyton’s gross pay?

a)

$1,100

b)

$2,800

c)

$600

d)

$1,700

27.

Gross pay refers to which of the following?

a)

Total of deductions

b)

Total of all taxes paid

c)

Total take-home pay after deductions

d)

Total income earned before deductions

28.

Which of the following provides wage replacement and medical benefits to employees who suffer from job-related illnesses or injuries?

a)

Retirement plans

b)

Paid time off

c)

Disability insurance

d)

Workers’ compensation

29.

Which of the following is a specified amount of money an insured individual must pay before an insurance company will pay a claim?

a)

Deposits

b)

Contributions

c)

Tangible

d)

Deductible

30.

Individual designated to receive a sum of money upon the death of a policy holder correctly defines which of the following?

a)

Beneficiary

b)

Liable individual

c)

Insured

d)

Account holder

31.

A person who is willing to take chances with their finances is called a _________

a)

risk taker

b)

saver

c)

spender

d)

accountant

32.

A person who does not pay much attention to their finances and often ignores them is called a _________.

a)

flyer

b)

planner

c)

spender

d)

saver

33.

A person who likes to spend money rather than save it is called a _________

a)

spender

b)

saver

c)

collector

d)

hoarder

34.

A person who prefers to save money rather than spend it is called a _________.

a)

saver

b)

spender

c)

borrower

d)

investor

35.

A person who prioritizes financial security and stability is called a _________.

a)

security seeker

b)

risk taker

c)

spender

d)

adventurer

36.

The amount of a product or service that is available to consumers is called ________.

a)

Supply

b)

Demand

c)

Revenue

d)

Profit

37.

The value of the next best alternative that is given up when making a choice is known as ________.

a)

Opportunity Cost

b)

Sunk Cost

c)

Marginal Benefit

d)

Fixed Cost

38.

The desire of purchasers, consumers, clients, or employers for a particular commodity, service, or other item is called ________.

a)

Demand

b)

Supply

c)

Production

d)

Distribution

39.

The degree to which the quantity demanded or supplied of a good changes in response to a change in price is called ________.

a)

Elasticity

b)

Utility

c)

Scarcity

d)

Equilibrium

40.
Question Image

Match the vocabulary word with the correct definition.

a)

Culture

1.

set of symbols, rules and values which are formed by a homogeneous group of people and transmitted to the next generation

b)

Economics

2.

study of the production, distribution and consumption of goods and services

c)

Brand Image

3.

subjective perception of how well a product or brand performs

d)

Reference Groups

4.

groups to which an individual looks as a source for personal standards

e)

Family Life Cycle

5.

different stages of a family experience, such as marriage, birth and retirement

41.

Match the vocabulary word with the correct definition.

a)

Demographic Status

1.

quantifiable statics detailing an individual's current status, such as age, gender, ethnicity, occupation and income

b)

Luxuries

2.

type of good whose demand decreases with an increase in income

c)

Inferior Good

3.

type of good or service whose demand increases when income increases and demand decreases when price rises

d)

Normal Good

4.

type of good whose demand increases with an increase in income

42.

The Cumberland family wants to move into a larger apartment. The apartment costs 1,500amonth.Theycurrentlyearntakehomepayof1,500 a month. They currently earn take-home pay of 4,000. Evaluate their budget. Can they afford the larger apartment on the current budget?

a)

No

b)

Yes

43.

Which of the following is NOT a form typically completed upon hire?

a)

Social Security form

b)

Vehicle insurance form

c)

Bank account information form

d)

Emergency contact form

44.

CDs are similar to savings accounts because of which of the following?

a)

They have a fixed rate

b)

They have a fixed term

c)

They have high interest rates

d)

They accrue interest

45.

Unlike Roth IRAs, traditional IRAs have which of the following characteristics?

a)

Restricts the amount of cash which can be contributed

b)

Requires taxes be paid on interest

c)

Has tax benefits

d)

Allows individuals to save for retirement

46.

CDs are a common way to save money and are offered by most financial institutions. In this instance, CD stands for which of the following?

a)

Certificate of deposit

b)

Certificate of development

c)

Canadian dollar

d)

Compact disc

47.

Savings accounts are like money market accounts because of which of the following?

a)

Check writing is authorized

b)

They have a low rate of return

c)

They have a high minimum balance required

d)

They have a limited number of withdrawals

48.

Because the family life cycle changes, goals require which of the following?

a)

Lots of thought

b)

Constant updating

c)

Priorities

d)

Long term target dates

49.

A budget helps prevent debt by detailing which of the following?

a)

Showing current debts

b)

Creating new income

c)

Identifying shortages before they happen

d)

Listing expenses

50.

After creating his budget, John realized his expenses exceed his income. To resolve this issue he can do which of the following?

a)

Go on a shopping spree

b)

Work fewer hours

c)

Eat out less frequently

d)

Invest more in the stock market

51.

Budgeting finances requires calculating (a)   and (b)   .

Choose from the below words

Inflation; taxes

Income; expenses

Utility; opportunity cost

Investments; savings

52.

__________ explains how a person changes financial position, earnings, consumption and savings throughout the life cycle.

Choose from the below words

Financial evolution

Portfolio growth

Money life cycle

Family life cycle

53.

A ________ account has a higher rate of return, but a __________ account has a lower required minimum balance.

a)

Savings; money market

b)

Money market; savings

54.

Common stock differs from preferred stock in which of the following ways?

a)

Liquidity

b)

Voting rights

c)

Callable features

d)

Exchange rates

55.

Which of the following accurately describes stocks?

a)

Employee-sponsored retirement benefit plans

b)

Contributions for the government required of people

c)

Savings accounts which include tax benefits

d)

Investments providing ownership of public companies

56.

Which of the following is a line of credit issued to customers to cover checks or debits exceeding the amount in their account?

a)

Automated teller machine

b)

Cash flow budgeting

c)

Overdraft protection

d)

Debt restructuring

57.

Which of the following allows customers to have their paycheck electronically deposited directly into their account?

a)

Deposit slip

b)

Direct deposit

c)

Online payment

d)

Electronic withdrawal

58.

Some checking accounts may require an individual do which of the following?

a)

Apply for a personal loan

b)

Make an opening deposit

c)

Provide proof of income

d)

Pay a fine

59.

Which financial institution protects individuals by insuring bank deposits?

a)

FDIC

b)

FIS

c)

LPM

d)

FSA

60.

Which of the following allows customers to borrow money from a financial institution up to a certain limit?

a)

Debit card

b)

Safety deposit box

c)

Trust account

d)

Credit card

61.

The electronic movement of money from one account to another is known as which of the following?

a)

Financial electronic transaction

b)

Electronic funds transfer

c)

Electronic movement of money

d)

Technology funds

62.

Which of the following institutions may be owned by shareholders OR members?

a)

Retail banks

b)

Savings and loan associations

c)

Credit unions

d)

Commercial banks

63.

Which of the following financial institutions provides loans for prospective home buyers?

a)

Savings and loan associations

b)

Mortgage companies

c)

Insurance companies

d)

Brokerage firms

64.

Financial institutions are monitored through which of the following?

a)

Federal Reserve System

b)

National Banking Union Administration

c)

National Financial Institution Agency

d)

Federal Deposit Insurance Corporation

65.

Financial advisors typically recommend an individual has enough savings to cover at least ____________ months worth of bills.

a)

Three to six

b)

One to two

c)

12 to 18

d)

Six to eight

66.

Deposits are insured by the Federal Deposit Insurance Corporation up to __________ per depositor.

a)

$250,000

b)

$75,000

c)

$25,000

d)

$50,000

67.

Which of the following is a deposit account held at a financial institution which allows withdrawals and deposits?

a)

Savings account

b)

Money market account

c)

Certificate of deposit

d)

Checking account

68.

Which of the following bank accounts does NOT provide money access during the term length?

a)

Money market account

b)

Certificate of deposit

c)

Savings account

d)

Checking account

69.

Which of the following should NOT be included when interpreting a bank statement?

a)

Information from a different account

b)

Account summary

c)

Statement date

d)

Account activities

70.

Which of the following is NOT a true statement about reconciling a bank statement?

a)

It can help catch any mistakes or even fraud

b)

It involves matching up records with the information on the bank statement

c)

It can help with understanding spending pattern

d)

It is not necessary to ensure the balance is correct

71.

Which of the following financial documents is recommended to be stored at least three to seven years?

a)

Mortgage contract

b)

Supporting tax documentation

c)

Utility bills

d)

Passport

72.

Which of the following is NOT correct when maintaining financial records?

a)

Keeping unneeded paper work

b)

Keeping documents which are difficult to obtain

c)

Keeping financial records as long as necessary

d)

Keeping files in a safe place

73.

Which of the following is an example of a fixed asset?

a)

Stocks

b)

Patent

c)

Cash

d)

House

74.

If an individual has total assets of 100,000andtotalliabilitiesof100,000 and total liabilities of 70,000, what is this person's net worth?

a)

$30,000

b)

$170,000

c)

$100,000

d)

$70,000

75.

Which of the following is an interest-bearing deposit account held at a bank which provides a modest interest rate?

a)

Money market account

b)

Certificate of deposit

c)

Checking account

d)

Savings account

76.

Which of the following is a type of savings account which usually earns a higher amount of interest than a basic savings account?

a)

Money market account

b)

Debit card

c)

Certificate of deposit

d)

Checking account

77.

Which of the following is NOT usually included in a bank statement?

a)

Withdrawals

b)

Fees

c)

Social Security number

d)

Deposits