This quiz works best with JavaScript enabled. Home > Finance > Personal Finance > Personal Finance > Personal Finance – Quiz 67 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Personal Finance Quiz 67 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Mr. Anont wants to get life insurance that allows him to save money for use in the next 20 years and also wants protection. What type of insurance should Mr. Anon take? A) For life. B) Period of time. C) Savings. D) Pension. Show Answer Correct Answer: C) Savings. 2. The lower the interest rate, the better. A) False. B) True. Show Answer Correct Answer: A) False. 3. An expense that changes from month to month is called: A) Income. B) Fixed expense. C) Variable expense. D) Budget. Show Answer Correct Answer: C) Variable expense. 4. A loan is a medium of exchange to buy goods. A) True. B) False. Show Answer Correct Answer: B) False. 5. When you diversify your risk by buying small pieces of many companies at a time A) Mutual funds. B) CDs. C) Corporate bonds. D) US Savings Bonds. Show Answer Correct Answer: A) Mutual funds. 6. What would you put into a TVM calculator for P/Y if 4000 is compounded monthly for 5 years at 2% interest? A) 60. B) 4000. C) 0. D) 1. Show Answer Correct Answer: D) 1. 7. True or False:Defaulting on a loan is when you cannot pay back a loan. A) False. B) True. Show Answer Correct Answer: B) True. 8. Which of the following is NOT a suggestion for shopping smart? A) Shop at consignment and outlet stores. B) Shop sales. C) Shop because you are bored. D) Shop at discount stores. Show Answer Correct Answer: C) Shop because you are bored. 9. What should be the primary focus of personal finance management? A) Accumulating credit card debt. B) Speculating on stock prices. C) Minimizing taxes. D) Achieving financial goals and financial security. Show Answer Correct Answer: D) Achieving financial goals and financial security. 10. If you switched to an insurance policy with a higher deductible, you could probably expect A) A lower premium. B) A higher premium. C) A higher coverage limit. D) No coverage limit. Show Answer Correct Answer: A) A lower premium. 11. FICA taxes include 2 components, which are A) Accident and disability insurance. B) Unemployment compensation and disability insurance. C) Social Security and Medicare taxes. D) Old age and unemployment compensation. Show Answer Correct Answer: C) Social Security and Medicare taxes. 12. Things you should check for good maintenance on a vehicle A) Tires, wiper fluid, engine, brake fluid, transmission fluid. B) Tire pressure, wipers, engine oil, brakes, transmission fluid. C) Tires, wipers, engine, brakes, transmissions. D) Tire pressure, wiper fluid, engine oil, brake fluid, transmission fluid. Show Answer Correct Answer: D) Tire pressure, wiper fluid, engine oil, brake fluid, transmission fluid. 13. Which of the following makes up the biggest proportion of your credit score? A) Payment History. B) Credit card balance (utilization). C) Diversity of your credit. D) Number of Credit Checks. E) Age of your credit. Show Answer Correct Answer: A) Payment History. 14. An example of "Good Debt" is? A) Home Mortgage. B) Student Loan. C) Car Loan. D) Credit Card debt. E) None of the Above. Show Answer Correct Answer: E) None of the Above. 15. Which of the following is NOT a possible tax or deduction that could show up on your paycheck? A) Sales tax. B) FICA. C) Contributions to retirement savings. D) State income tax. Show Answer Correct Answer: A) Sales tax. 16. When you have a new hair cut, you get a ..... A) Goods. B) Service. C) Consumer. D) Producer. Show Answer Correct Answer: B) Service. 17. Which of the following is true about banks and credit unions? A) They are the safest place to save money. B) Money can be withdrawn from banks online. C) Banks are a business and loan money to others to make money. D) All of the above. Show Answer Correct Answer: D) All of the above. 18. Which is good advice for saving and spending money? A) Spend all of your allowance as soon as you earn it. B) Use a budget to plan how much money you can save. C) Try to buy things that you want before the things that you need. D) Buy things you use only once, and then throw them out. Show Answer Correct Answer: B) Use a budget to plan how much money you can save. 19. Which of the following is an unexpected expense? A) Water Bill. B) Groceries each month. C) Car Repairs. D) None of above. Show Answer Correct Answer: C) Car Repairs. 20. What is Comparison Shopping? A) Money left over after all taxes have been paid. B) Buying things without planning on buying them. C) A record of all the money you earn and spend; where your money goes. D) Comparing the prices and quality of goods and services in order to get the best deal. Show Answer Correct Answer: D) Comparing the prices and quality of goods and services in order to get the best deal. 21. Institution that accepts savings at interest and lends money to savers chiefly for home mortgages, but may also have checking and other accounts. SSEPF2a A) Commercial bank. B) Savings and loan. C) Credit union. D) None of above. Show Answer Correct Answer: B) Savings and loan. 22. How does a corporation benefit from selling stocks? A) Can raise larger amounts of capital. B) More money. C) Gives them limited liability. D) Gives them unlimited liability. Show Answer Correct Answer: A) Can raise larger amounts of capital. 23. This kind of tax increases as one's income increases. A) Regressive. B) Progressive. C) Proportional. D) None of above. Show Answer Correct Answer: B) Progressive. 24. If you do not budget for unexpected expenses in a given month, you will likely experience a(n) A) Cash surplus. B) Decrease in liabilities. C) Increase in assets. D) Cash shortage. Show Answer Correct Answer: D) Cash shortage. 25. Which soft skill refers to how well team members work with each other, support each other, and perform their assigned tasks. A) Work Ethic. B) Teamwork. C) Punctuality. D) Time Management. Show Answer Correct Answer: B) Teamwork. 26. The dependence upon other countries resulting in the trade for goods and services. A) Economics. B) Rationing. C) Socialism. D) Interdependence. Show Answer Correct Answer: D) Interdependence. 27. Amount charged if your payment is received after the billing date A) Overdue fee. B) Loser fee. C) Withdrawal fee. D) Late payment fee. Show Answer Correct Answer: D) Late payment fee. 28. A savings account is considered a risk-free investment, A) False. B) True. Show Answer Correct Answer: B) True. 29. What is the MAIN purpose of investing? A) To create an emeregency fund. B) To purchase an item. C) To make money. D) The build credit. Show Answer Correct Answer: C) To make money. 30. Which United States government action was most similar to the goal shown in these World War ll posters? A) Development of the Manhattan Project (1942). B) Rationing by the Office of Price Administration (1941). C) Aid to Russia under the Lend-Lease Act (1941). D) Institution of the draft by the Selective Service Act (1940). Show Answer Correct Answer: B) Rationing by the Office of Price Administration (1941). ← PreviousNext →Related QuizzesPersonal Finance QuizzesFinance QuizzesPersonal Finance Quiz 1Personal Finance Quiz 2Personal Finance Quiz 3Personal Finance Quiz 4Personal Finance Quiz 5Personal Finance Quiz 6Personal Finance Quiz 7Personal Finance Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books