This quiz works best with JavaScript enabled. Home > Finance > Taxation > Income Tax Planning > Income Tax Planning – Quiz 9 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Income Tax Planning Quiz 9 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. . Wages, salary, commission, fees, tips, and bonuses are A) Tax-exempt income. B) Interest income. C) Earned income. D) Tax-deferred income. Show Answer Correct Answer: C) Earned income. 2. The ..... you start saving, the ..... you will have to save each month to reach your retirement goals. A) Later, less. B) Less, more. C) Earlier, more. D) Earlier, less. Show Answer Correct Answer: D) Earlier, less. 3. What is another name for warranty A) Express. B) Limited. C) Implied. D) Guarantee. Show Answer Correct Answer: D) Guarantee. 4. What does it mean when a student loan is "forgiven" ? A) You don't have to keep going to classes to get your degree. B) You don't have to pay back the remainder of your loan debt. C) You don't get as much money as your were previosuly promised. D) You get a letter of apology from the government. Show Answer Correct Answer: B) You don't have to pay back the remainder of your loan debt. 5. Aims to establish coordination of national economies for the benefit of countries in the Asia-Pacific region A) APEC. B) CPEC. C) CTEC. D) OPEC. Show Answer Correct Answer: A) APEC. 6. What is a written promise to pay a certain sum of money to another person or to the holder of the note on a specified date A) Contract. B) Credit agreement. C) Title loan. D) Promissory note. Show Answer Correct Answer: D) Promissory note. 7. The following are the conditions for zakat on saving, EXCEPT A) Hawl is one year. B) Based on the beginning balance. C) Nisab 85 gram gold. D) Zakat rate 2.5%. Show Answer Correct Answer: B) Based on the beginning balance. 8. Why is buying a car considered "bad debt" ? A) It increases your net worth as it build equity. B) It gives you transportation to and from your job. C) It is worth more than any other investment. D) It decreases in value over time. Show Answer Correct Answer: D) It decreases in value over time. 9. A personal balance sheet would report all of the following EXCEPT A) Amount in your checking account. B) Value of your car. C) Home mortgage. D) Net income. Show Answer Correct Answer: D) Net income. 10. A person who is authorized by an insurance company to represent that company in its dealings with applicants for insurance. A) Financial Advisor. B) Wealth Mangement. C) Insurance Agent. D) Financial Planner. Show Answer Correct Answer: C) Insurance Agent. 11. Your net worth is A) The total value of your personal assets. B) The difference between your personal assets and your liabilities. C) The total amount of all of your investments. D) What you have left over in your paycheck each week after deductions are taken out. Show Answer Correct Answer: B) The difference between your personal assets and your liabilities. 12. What is the purpose of cash budget? A) Determine whether the firm is facing shortage or surplus of asset. B) Determine whether the firm is facing shortage or surplus of cash. C) To check whether the firm earn profit or get loss. D) None of above. Show Answer Correct Answer: B) Determine whether the firm is facing shortage or surplus of cash. 13. Which of the following can BEST help you develop budget categories and provide a basis for your budget? A) Balance sheet. B) Cash flow statement. C) Cost benefit analysis. D) Paycheck stub. Show Answer Correct Answer: B) Cash flow statement. 14. Your ..... income is the money you have left to spend or save after taxes and other deductions A) Net income or disposable income. B) Social security. C) Loan payments. D) Gross income. Show Answer Correct Answer: A) Net income or disposable income. 15. It is an attached agency of DOT which is primarily responsible for implementing an integrated domestic and international promotions and marketing program for the Philippines as a tourism destination as well as for tourism investments A) Tourism Promotions Board. B) Tourism and Travel. C) Tourism Industry. D) Tourism Policy. Show Answer Correct Answer: A) Tourism Promotions Board. 16. Paying down debts such as credit card balances is considered A) Part of your wants. B) Part of your investment plan. C) Part of your savings strategy. D) Part of your monthly needs. Show Answer Correct Answer: C) Part of your savings strategy. 17. Which of the following is known as conducting business with financial institutions over the internet? A) Online banking. B) Gross income. C) Net income. D) Financial planning. Show Answer Correct Answer: A) Online banking. 18. Paying yourself first, sticking to a budget, pacing yourself, living within your means, and knowing where your cash goes are all ..... A) Ways to afford everything you want. B) Ways to balance expenses and savings. C) Guaranteed to prepare you for every expense. D) Ensure that you are able to retire comfortably. Show Answer Correct Answer: B) Ways to balance expenses and savings. 19. These records are updated quickly and easily A) Paper filing. B) Loan papers. C) Promissory notes. D) Electronic record keeping. Show Answer Correct Answer: D) Electronic record keeping. 20. Which of these are income A) Savings. B) Allowance. C) Cost of shirt. D) Car payment. Show Answer Correct Answer: B) Allowance. 21. Which one of the following events could make your retirement benefit LESS than expected? A) Inflation occurs at a lower rate than you calculated. B) You inherit money you had not anticipated. C) You earn a larger retirement benefit than you had calculated. D) Your rate of return is lower than you had calculated. Show Answer Correct Answer: D) Your rate of return is lower than you had calculated. 22. What is unwritten guarantee that exists by the nature of the product A) Double guarantee. B) Extended warranty. C) Implied warranty. D) Express warranty. Show Answer Correct Answer: C) Implied warranty. 23. All the following are examples of tax deductions EXCEPT A) Rent expense. B) Interest paid on a home mortgage or home equity loan. C) Contributions to charitable organizations. D) Certain medical expenses. Show Answer Correct Answer: A) Rent expense. 24. Why should you keep track of how much money you spend on items like food, gas, and going out each week? A) So you can know where your cash goes. B) So you can be sure to save enough money each month. C) So you can know when to use credit or debit. D) So you can meet your savings milestones. Show Answer Correct Answer: A) So you can know where your cash goes. 25. The creation of incentives to encourage foreign investment refer to A) Sponsoring research. B) Marketing incentives. C) Financial incentives. D) None of above. Show Answer Correct Answer: C) Financial incentives. 26. The increase in value of your investments over a period of time is called: A) Growth. B) Assets. C) Liabilities. D) Financial planning. Show Answer Correct Answer: A) Growth. 27. The total amount of money earned before payroll withholdings A) Net pay. B) Gross pay. C) Payroll deductions. D) None of these. Show Answer Correct Answer: B) Gross pay. 28. A(n) ..... is a charge imposed by government to fund public services. A) Tax. B) Sales tax. C) Income tax. D) Excise tax. Show Answer Correct Answer: A) Tax. 29. How do short-term goals differ from long-term goals? A) Short-term goals are more affordable than long-term goals. B) Short-term goals involve more planning than long-term goals. C) Short-term goals cost more than long-term goals in the long run. D) Short-term goals are more immediate than long-term goals. Show Answer Correct Answer: D) Short-term goals are more immediate than long-term goals. 30. What is an example of assets? A) Paid off house. B) Student loans. C) Credit card debt. D) House mortgage. Show Answer Correct Answer: A) Paid off house. ← PreviousNext →Related QuizzesTaxation QuizzesFinance QuizzesIncome Tax Planning Quiz 1Income Tax Planning Quiz 2Income Tax Planning Quiz 3Income Tax Planning Quiz 4Income Tax Planning Quiz 5Income Tax Planning Quiz 6Income Tax Planning Quiz 7Income Tax Planning Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books