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Unit 2 Key Terms Quiz

Total questions: 11

Worksheet time: 13mins

Name
Class
Date
1.

Which form is used to verify the identity and employment authorization of individuals hired for employment in the United States?

a)

W-4 Tax Form

b)

FAFSA

c)

W-2 Tax Form

d)

I-9 Form

2.

Which of the following is a characteristic of a 'Progressive Tax System'?

a)

A tax rate that applies only to luxury goods

b)

A tax rate that decreases as the taxpayer's income increases

c)

A tax rate that increases as the taxpayer's income increases

d)

A tax rate that remains constant regardless of income

3.

What is the difference between 'Gross Pay' and 'Net Pay'?

a)

Gross Pay is the total earnings before deductions; Net Pay is the amount after deductions

b)

Gross Pay is the amount after deductions; Net Pay is the total earnings before deductions

c)

Gross Pay includes only salary; Net Pay includes salary and bonuses

d)

Gross Pay is the amount after taxes; Net Pay is the amount before taxes

4.

Which type of loan does not require repayment until after graduation and has interest paid by the government while the student is in school?

a)

Subsidized Student Loan

b)

Private Student Loan

c)

Unsubsidized Student Loan

d)

Parent Plus Loan

5.

What is the purpose of the 'W-4 Tax Form'?

a)

To verify employment eligibility

b)

To report earnings and taxes withheld to the IRS

c)

To determine the proper amount to withhold from your paycheck for taxes

d)

To apply for federal student aid

6.

Which of the following is a 'Voluntary Paycheck Deduction'?

a)

Social Security tax

b)

Medicare tax

c)

401K Retirement Plan contribution

d)

Federal income tax

7.

What is the 'Effective Tax Rate'?

a)

The rate in your designated tax bracket

b)

The tax rate that increases as income increases

c)

The actual rate you pay in overall taxes as a percentage of your overall income

d)

The tax rate applied to the the last dollar of taxable income

8.

Which of the following financial aid types below do not need to be repaid? (mark all that apply)

a)

Unsubsidized Student Loan

b)

Scholarships

c)

Private Student Loan

d)

Needs-Based Grants

9.

Upload the image/drawing you have created to represent any of the terms from Unit 2 of your choice, then EXPLAIN how your image or drawing represents the meaning of the chosen word.

** Don't forget to EXPLAIN your image!

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10.

Upload the image/drawing you have created to represent any of the terms from Unit 2 of your choice, then EXPLAIN how your image or drawing represents the meaning of the chosen word.

** Don't forget to EXPLAIN your image!

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11.

BONUS Question! Is there a term from Unit 2 that you know well that isn't on this quiz? Use this question to write in a word and defintion that you know well. A correct answer here can be used to replace an incorrect answer elsewhere on this quiz. Don't NEED the bonus, just skip it.

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