UGBA 135 UPDATED SCRIPT 2026
PRACTICE SOLUTIONS GRADED A+
● Which factors DIRECTLY affect your credit score? a) payment
history, b) length of credit history, c) debt burden, d) annual income.
Answer: a) payment history, b) length of credit history, c) debt burden
● Which factor has the largest direct impact on your credit score? a)
payment history, b) debt burden, c) length of credit history, d) annual
income. Answer: a) payment history
● In the video "Prioritizing Savings," is it recommended to save for your
children's education first or save for your own retirement first?. Answer:
Save first for your children's education, then for your own retirement.
● True or false: Lenders use credit reports to help them decide whether
to loan you money and what interest rate to charge. Answer: True
● Zvi Bodie invests in: a) futures, b) gold, c) inflation protected US
bonds, d) international common stock index funds. Answer: c) inflation
protected US bonds
● True or false: Asset allocation refers to deciding which individual
stocks to buy. Answer: False
, ● True or false: In most cases, as people approach retirement age, it is
recommended that they increase the percentage of their financial
investments held in stocks and decrease the percentage held in bonds..
Answer: False
● True or false: Most target date funds decrease their allocation to stocks
over time.. Answer: True
● True or false: Benjamin Graham recommended holding no more than
75% of one's portfolio in stocks and no less than 25% in gold.. Answer:
False
● True or false: Actively trading common stocks is the best long-term
investment strategy for most investors.. Answer: False
● True or false: It is surprisingly difficult to look up the fees for mutual
funds. Answer: False
● When buying a mutual fund in a particular asset class, which is most
important: a) whether or not the fund's returns the previous year was in
the top 10% of similar funds, b) whether Jim Kramer likes the fund, or
c) the fees the fund charges.. Answer: c) the fees the fund charges
PRACTICE SOLUTIONS GRADED A+
● Which factors DIRECTLY affect your credit score? a) payment
history, b) length of credit history, c) debt burden, d) annual income.
Answer: a) payment history, b) length of credit history, c) debt burden
● Which factor has the largest direct impact on your credit score? a)
payment history, b) debt burden, c) length of credit history, d) annual
income. Answer: a) payment history
● In the video "Prioritizing Savings," is it recommended to save for your
children's education first or save for your own retirement first?. Answer:
Save first for your children's education, then for your own retirement.
● True or false: Lenders use credit reports to help them decide whether
to loan you money and what interest rate to charge. Answer: True
● Zvi Bodie invests in: a) futures, b) gold, c) inflation protected US
bonds, d) international common stock index funds. Answer: c) inflation
protected US bonds
● True or false: Asset allocation refers to deciding which individual
stocks to buy. Answer: False
, ● True or false: In most cases, as people approach retirement age, it is
recommended that they increase the percentage of their financial
investments held in stocks and decrease the percentage held in bonds..
Answer: False
● True or false: Most target date funds decrease their allocation to stocks
over time.. Answer: True
● True or false: Benjamin Graham recommended holding no more than
75% of one's portfolio in stocks and no less than 25% in gold.. Answer:
False
● True or false: Actively trading common stocks is the best long-term
investment strategy for most investors.. Answer: False
● True or false: It is surprisingly difficult to look up the fees for mutual
funds. Answer: False
● When buying a mutual fund in a particular asset class, which is most
important: a) whether or not the fund's returns the previous year was in
the top 10% of similar funds, b) whether Jim Kramer likes the fund, or
c) the fees the fund charges.. Answer: c) the fees the fund charges
