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Personal Finance - Semester Final

Total questions: 41

Worksheet time: 2hrs 1mins

Name
Class
Date
1.

Which one of the following options is a need?

a)

Food

b)

Cell phone

c)

Game system

d)

Access to social media

2.

Susan is in the fifth grade. Her dream is to one day be a doctor. This is an example of a(n)

a)

Savings

b)

Investment

c)

Long-term goal

d)

Short-term goal

3.

If a car company is producing cars faster than people want to buy them, there is an excess. What can be expected to happen?

a)

Supply and price can be expected to increase.

b)

Supply and price can be expected to decrease.

c)

Demand and price can be expected to increase.

d)

Demand and price can be expected to decrease.

4.

Which of the following is usually found during peaks of the business cycle?

a)

High employment

b)

More jobs are available

c)

People spending more money

d)

All of the above

5.

What is the process of forecasting future expenses and savings called?

a)

Planning

b)

Predicting

c)

Budgeting

d)

Fortune-telling

6.

Which of the following options is a good example of a hard skill?

a)

Reliability

b)

Web Design

c)

Collaboration skills

d)

Verbal communication

7.

The rent you pay each month should be within what percentage range of your total take-home pay?

a)

7% - 12%

b)

10% - 15%

c)

15% - 20%

d)

25% - 30%

8.

Grooming and hygiene are part of your nonverbal skills.

a)

True

b)

False

9.

What is net pay?

a)

Gross pay

b)

Pay you get after deductions

c)

Regular pay plus overtime pay

d)

Pay you get before deductions

10.

What is the monthly gross pay for Dave if he has a contract for $28,000 a year?

a)

$7,000.00

b)

$2,333.33

c)

$1,538.46

d)

$921.28

11.

Jan’s weekly gross pay is $1,500.00. The following deductions are taken out of her check are: 1) $120.00 (Federal Income Tax); 2) $60.25 (State Income Tax); 3) $93.00 (Social Security); 4) $21.75 (Medicare); 5) $55.00 (Health Insurance). What is her net pay?

a)

$1,350.00

b)

$1,295.00

c)

$1,195.00

d)

$1,150.00

12.

If you contribute $1,500 to your retirement account and your employer matches it, how much is getting put into your account?

a)

$1,500

b)

$2,000

c)

$2,500

d)

$3,000

13.

Roads, police, schools, government agencies, and fire and emergency services are all funded by taxes.

a)

True

b)

False

14.

Which form tells an employer how much to deduct from your paycheck for taxes?

a)

W-2

b)

W-4

c)

1040

d)

1099

15.

What forms must you fill out when you start a new job? Select all that apply.

a)

I-9

b)

W-2

c)

W-4

d)

1040

16.

All wages, tips, and bonuses are taxable unless specifically excluded by law.

a)

True

b)

False

17.

How much money was taken out for Medicare Tax on this W-2?

a)

$725.00

b)

$3,100.00

c)

$6,835.00

d)

$48,500.00

18.

How much money was taken out for Federal Income Tax on this W-2?

a)

$725.00

b)

$3,100.00

c)

$6,835.00

d)

$48,500.00

19.

My house payment is the same amount each month. This is an example of a

a)

Profit

b)

Fixed expense

c)

Flexible expense

d)

Variable expense

20.

______ are responsibilities for debts.

a)

Risks

b)

Profits

c)

Liabilities

d)

Investments

21.

If Mike’s assets total $99,000 and his liabilities are $33,000, what is his net worth?

a)

$33,000

b)

$66,000

c)

$99,000

d)

$132,000

22.

Orrin had $541.06 in his checking account and wrote a check to hislandlord for $575.00. This will result in which of the following fees?

a)

ATM fees.

b)

Service fees.

c)

Overdraft fees.

d)

None – banks always honor checks from accounts with negative balances.

23.

Which of the following is a typical interest rate on a payday loan?

a)

2%

b)

10%

c)

20%

d)

40% or more

24.

What are the two most important factors in calculating your credit score?

a)

Payment history and total debt.

b)

Payment history and types of accounts.

c)

Accounts owed and length of credit available.

d)

Length of credit history and new credit inquiries.

25.

Which of the following can request your credit report?

a)

Your landlord.

b)

Your employer.

c)

Insurance companies.

d)

All of the above.

26.

Which of the following numbers is an excellent credit score?

a)

555

b)

672

c)

713

d)

821

27.

When you take out a mortgage your home becomes the collateral.

a)

True

b)

False

28.

You can be put in jail for failing to repay a credit card or loan.

a)

True

b)

False

29.

What kind of car insurance pays for damages to your car if you are at fault?

a)

Collision.

b)

Comprehensive.

c)

Uninsured motorist.

d)

Under-insured motorist.

30.

What kind of insurance pays for physical damage to your car from acts of nature such as fire?

a)

Collision.

b)

Comprehensive.

c)

Property damage.

d)

Medical payments.

31.

What type of insurance might you be able to use if there is a leaky pipe in your rented apartment and the water ruins your things?

a)

Life.

b)

Auto.

c)

Renters.

d)

Liability.

32.

When renting an apartment, it is a good idea to use your phone to record the initial and final walk-throughs with your landlord.

a)

True

b)

False

33.

Which of the following people has the highest credit score? Assume that each person is making all payments on time each month.

a)

An 18 year-old college freshman.

b)

A 20 year-old cashier with two active credit cards.

c)

A 40 year-old business owner with two cars, a house, and four active credit cards.

d)

A 65 year-old retiree who rents his/her house.

34.

The out-of-pocket money paid by the policyholder before an insurance company will cover the remaining costs of a claim is called the

a)

Risk.

b)

Policy.

c)

Premium.

d)

Deductible.

35.

The written contract between a landlord and a tenant is called a lease.

a)

True

b)

False

36.

Missouri requires that you have insurance on your vehicle(s).

a)

True

b)

False

37.

If you increase the amount of a down payment on a loan, how will it affect the monthly payment?

a)

The monthly payment will increase.

b)

The monthly payment will decrease.

c)

The monthly payment will stay the same.

d)

None of the above.

38.

What should an objective in a resume list/do?

a)

List all previous job titles and responsibilities

b)

Define career goals clearly and concisely

c)

Provide personal hobbies and interests

d)

Detail every educational achievement

39.

Who should not be used as a reference? 

a)
Relatives
b)
Teacher
c)
Coach
d)
Youth Pastor
40.

Are you glad this final is over?

a)

No.

b)

Yes.

c)

I am afraid to choose yes.

d)

What do you mean it’s over? I could answer these types of questions for another three hours.

41.

If you think there is an error on any test question, type the question number here and state why you think it is wrong.

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