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WorksheetsQuiz Personal Finance Appendix
Total questions: 21
Worksheet time: 41mins
What is a detailed forecast of the financial inflows (income) and outflows (expenses) to determine your net inflow or outflow for a given period?
Inflow/outflow analysis
Invoice
Budget
Ledger
What are the first two steps to start a budget?
Assess Standards
Assess Revenue
Assess Assets
Assess Expenses
What are expenditures for which the spender has significant control in terms of the amount and timing?
Discretionary payments
Mandatory payments
Fixed expenses
Unavoidable costs
What are expenditures that the spender has little or no control over?
Luxury purchases
Optional expenses
Non Discretionary payments
Voluntary contributions
What is an interest-bearing account holding funds not needed to meet regular expenditures?
Loan account
Current account
Fixed deposit
Saving account
What is an independent agency created by Congress to maintain stability and public confidence in the nation’s financial system, primarily by insuring bank deposits?
Securities and Exchange Commission (SEC)
Federal Deposit Insurance Corporation (FDIC)
Federal Reserve Board (FRB)
Office of the Comptroller of the Currency (OCC)
How much does the FDIC insure for individual deposits?
$250,000
$100,000
$500,000
$1,000,000
What terms allows a borrower to buy a good or acquire an asset without making immediate payment and to repay the balance at a later time?
Dividend
Deposit
Withdrawal
Credit
What is a numerical measure of a consumer’s creditworthiness?
Credit score
Net worth
Annual income
Debt-to-income ratio
What is the most commonly used credit scoring system?
Experian PLUS Score
TransUnion VantageScore
Equifax Risk Score
Fair, Isaac and Company (FICO) scale
What is considered to be an excellent FICO score?
750 or better
1000 or better
800 or better
500 or better
What is considered to be a very poor FICO score?
Below 500
500-599
0
650-699
What are two benefit to a high FICO score?
Higher interest rates
lower interest rates
access to credit
No access to credit
What is a card issued by a bank or finance company that allows the cardholder to make a purchase now and pay the lender later?
Gift card
Debit card
Credit card
Prepaid card
What is the period of time that the credit card holder has to pay outstanding balances before interest or fees are assessed?
Grace period
Billing cycle
Credit limit
Minimum payment date
What is the interest expense charged on a credit card, expressed as an annual percentage?
Annual simple interest rate (ASIR)
Minimum payment due
Annual percentage rate (APR)
Grace period
What is a card issued by the bank that allows the customer to make purchases as if the transaction involved cash?
Debit Card
Credit Card
Gift Card
Loyalty Card
What is reducing consumption in the current time period in order to build future wealth?
Consumption
Reducing
Budgeting
Investing
What is an individual retirement account that provides tax benefits to individuals who are investing for their retirement?
IRA
401(k)
Roth IRA
Savings Account
What are three employee payroll-deduction retirement plans that offer tax benefits?
401k
403b
457b
422b
What is a specified period of time for which an employee must work for an employer in order to receive the full advantage of certain retirement benefits?
Vesting period
Probation period
Notice period
Grace period
