WorksheetsEverFi Review
Total questions: 23
Worksheet time: 14mins
Alicia is deciding between keeping her money in a checking account or a savings account. She wants to build her emergency fund and earn some interest, but still needs limited access to her cash. Which financial decision best supports her goal?
Keep all her money in checking for easier withdrawals
Open a savings account linked to her checking for limited transfers and interest growth
Use only cash so she can control spending
Invest her entire savings in the stock market
Derrick receives a $500 paycheck and deposits it using his bank’s mobile app. Later, his account shows the funds as “pending.” What conclusion can Derrick draw from this status?
The bank has permanently held his funds
The deposit is being verified and funds will be available once processing is complete
His deposit failed and must be resubmitted
He can spend the money immediately without restriction
When comparing two banks, one offers free checking but no interest, and another offers 0.75% interest with a $10 monthly fee. How should a customer decide which is more beneficial?
Choose the one with more ATMs
Compare expected monthly balances to calculate whether earned interest exceeds the fee
Always choose the one with higher interest
Avoid both since all banks charge hidden fees
A local credit union offers lower loan interest rates than a national bank. What might explain this difference?
The credit union is privately owned for profit
The credit union is member-owned and reinvests profits to benefit members
The credit union doesn’t have FDIC insurance
The national bank is legally required to charge more
Jordan earned 42,000lastyearandpaid20 48,000, and his tax rate increased to 22%. What does this reveal about the U.S. tax system?
It's flat because everyone pays the same rate
It's progressive because higher income leads to a higher tax rate
It's regressive because rates fall as income rises
It's voluntary based on personal preference
When filing taxes, Maya realizes she qualifies for the American Opportunity Credit because she’s a college student. How should she apply this credit strategically?
Ignore it since credits reduce refunds
Claim it to directly reduce the amount of tax owed
Add it to her income to increase her tax return
Use it to adjust her paycheck withholding
A taxpayer chooses not to report cash tips earned at a restaurant. What are the long-term consequences of this decision?
The taxpayer may face penalties, interest, and possible criminal charges for tax evasion.
The taxpayer will receive a tax refund for unreported income.
The taxpayer will automatically have their tips reported by the restaurant.
There are no consequences for not reporting cash tips.
Marcus notices a $35 overdraft fee on his statement after a large purchase. He wants to avoid this in the future. What is the most effective financial strategy?
Cancel his account
Set up low-balance alerts and link his savings account for overdraft protection
Stop using debit cards entirely
Only check his balance once a month
If a person writes several checks and forgets to record them in their check register, what financial problem might occur and how can it be prevented?
They'll earn more interest; by not tracking it, they gain extra funds
They might overspend and overdraw; keeping an updated ledger or mobile tracker prevents this
Nothing happens; banks adjust automatically
The checks become void after 30 days
A checking account with no monthly fee but no ATM network is best described as which of the following?
An account with no monthly fee but limited ATM access
An account with high monthly fees and unlimited ATM access
An account with no fees and unlimited ATM access
An account with monthly fees and limited ATM access
What factors should a student consider before deciding?
The color of the debit card
Their spending habits, ATM use frequency, and total annual costs
The bank’s advertising
Whether friends use the same bank
Sierra wants to save for a $2,000 spring break trip in one year. She can either open a regular savings account at 1.2% interest or a certificate of deposit (CD) at 3% for one year. What should she consider before choosing the CD?
CDs lose value over time
CDs lock her money for a set period, so she must ensure she won’t need early access
Savings accounts charge higher penalties
CDs don’t earn any interest
A student compares two savings accounts: one with compound interest and one with simple interest. How can she determine which will help her savings grow faster over time?
Multiply both by the same rate once
Analyze how compound interest adds interest on previous interest, increasing growth exponentially
Choose whichever has fewer fees
Look for the higher minimum balance requirement
Elijah has 3,000anddecidestosetaside 500 in an emergency fund, invest $1,000, and keep the rest in a savings account. How much does he keep in the savings account?
$1,500
$2,000
$1,000
$500
Which financial principle is he applying?
A. Diversification of risk and liquidity management
B. Avoidance of savings
C. Earning maximum immediate return
D. Spending over saving
Janelle pays her credit card balance in full every month. How does this habit affect her financial health?
It lowers her credit score
It helps maintain a strong credit score and avoids paying interest
It reduces her available credit permanently
It increases her debt ratio
Tyrone’s credit utilization ratio increased from 20% to 85% after he lost his job. What is the likely outcome on his credit profile?
His score will improve due to higher use
His score may drop because high utilization suggests financial strain
His debt will be erased after 90 days
His interest rate will automatically decrease
Maria has two credit cards: one with 18% APR and one with 10% APR. She wants to reduce her debt efficiently. What is her best strategy?
Deon is offered a store credit card with a 25% interest rate and a 10% discount on his first purchase. How should he evaluate this offer?
Focus only on the discount
Weigh the short-term benefit of the discount against long-term costs of high interest if he carries a balance
Apply to improve his credit immediately
Use the card for emergencies only
Alex is comparing two colleges: College A: 20,000peryear,graduatesearnanaverageof 50,000. College B: 40,000peryear,graduatesearnanaverageof 55,000. What should he conclude about his educational return on investment (ROI)?
College B provides more prestige
College A may offer a higher ROI because of lower cost and similar earning potential
College B will always lead to better jobs
ROI doesn’t matter when choosing a school
The financial factor she should evaluate before deciding is:
Her budget or affordability
Her favorite color
The weather forecast
Her friend's opinion
Which of the following is the opportunity cost of delaying income versus the potential long-term increase in earnings?
The opportunity cost of delaying income versus the potential long-term increase in earnings
Which school has the nicest campus
How many of her friends are enrolling
Whether graduate school is online or in person
Malik took out $35,000 in student loans for a degree in graphic design. He’s considering switching to a new field requiring another degree. What question should he ask to determine if the additional debt is worth it?
Will the new degree lead to higher income and job stability that outweigh the new loan costs?
Can I defer my old loans forever?
Does this field sound more interesting?
Can I get more scholarships just to avoid paying now?
