This quiz works best with JavaScript enabled. Home > Taxation > Income Tax Planning > Income Tax Planning – Quiz 16 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Income Tax Planning Quiz 16 (19 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Personal finance skills have the most significant impact on an individual's A) Career. B) Education. C) Quality of life. D) Neighborhood safety. Show Answer Correct Answer: C) Quality of life. 2. What type of organization will offer a 403(c) as a retirement plan? A) Private business. B) Giant company. C) Nonprofit/government. D) Airline. Show Answer Correct Answer: C) Nonprofit/government. 3. Which budget is the best to create and most accurate A) Weekly. B) Bi-weekly. C) Monthly. D) Any of these. Show Answer Correct Answer: D) Any of these. 4. What type of information is included on a 1040 form? A) Your financial projection. B) A list of all expenses. C) Gross and net income from last year. D) Your bank statement from last year. Show Answer Correct Answer: C) Gross and net income from last year. 5. A cash ..... statement reports net wages and other income along with spending for a period, such as a month. A) Flow. B) Outflows. C) Inflows. D) None of above. Show Answer Correct Answer: A) Flow. 6. What should all budgeting methods have in common? A) Dividing net income by percentages. B) Defining different classifications of expenses. C) Putting money in savings for the future. D) Using credit cards wisely to build credit history. Show Answer Correct Answer: C) Putting money in savings for the future. 7. Life expectancy refers to A) Your perception of how long you expect to live. B) An estimate of how much money you need for retirement. C) A statistical estimate of the number of years you will live in retirement. D) A statistical measure of the average life span of a specific population. Show Answer Correct Answer: D) A statistical measure of the average life span of a specific population. 8. The Jeffersons want to save 10% per month from their $ 5, 000 salary. What will they save in a year? A) $ 500. B) $ 5500. C) $ 6, 000. D) $ 6, 250. Show Answer Correct Answer: C) $ 6, 000. 9. What is a home loan called? A) Mortgage. B) Personal Loan. C) Car Loan. D) Above Rent Payments. Show Answer Correct Answer: A) Mortgage. 10. How do most people purchase a home? A) In cash. B) Through a lease. C) With a down payment and a mortgage loan. D) Building their own. Show Answer Correct Answer: C) With a down payment and a mortgage loan. 11. Two kinds of waqf has been determined which are A) Individual waqf and group waqf. B) Family waqf and welfare waqf. C) Perpetuity waqf and permanence waqf. D) Cash waqf and building waqf. Show Answer Correct Answer: B) Family waqf and welfare waqf. 12. What is true about "Needs" ? A) They are items such as an expensive vehicle. B) They are also called "Non-discretionary" expenses. C) They are also called "Discretionary" expenses. D) They are usually fun to pay for. Show Answer Correct Answer: B) They are also called "Non-discretionary" expenses. 13. In India, in the accommodation sector the federal government now allows foreign management and up to 51% foreign ownership of hotels. This example refers to A) Tourism promotion. B) Stimulation. C) Coordination. D) Planning. Show Answer Correct Answer: B) Stimulation. 14. A successful budget A) Should not need to be re-evaluated once it is in place. B) Should never show any variances. C) Should be flexible. D) Should reflect current and future income. Show Answer Correct Answer: C) Should be flexible. 15. The HIGHEST percentage of income for people over age 65 comes from A) Employment benefits. B) Retirement accounts. C) Social Security. D) Other assets. Show Answer Correct Answer: C) Social Security. 16. The word ..... means legally collectible A) Consideration. B) Contract. C) Negotiable. D) Delegation. Show Answer Correct Answer: C) Negotiable. 17. Any difference between actual spending and budgeted amounts is called a budget what? A) Surplus. B) Liability. C) Variance. D) None of above. Show Answer Correct Answer: C) Variance. 18. Which of the following statement is TRUE about wasiyyah? A) Wasiyyah cannot exceed 1/3 over the total estate. B) It is effective anytime as long as the owner agrees. C) There is no need for consent of the legal heirs in a case of exceeding amount of the whole estate. D) Wasiyyah should be made in favour of entitled legal heirs. Show Answer Correct Answer: A) Wasiyyah cannot exceed 1/3 over the total estate. 19. Peer pressure is also known as A) Civic consciousness. B) Work ethic. C) The bandwagon effect. D) Restraint. Show Answer Correct Answer: C) The bandwagon effect. ← PreviousRelated QuizzesTaxation 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 8Income Tax Planning Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books