Wise test Review all topics with complete solution
Collateral
security given for loan, assets to secure the debt
Capacity
your ability to repay the debt. Do you have sufficient $money to repay a loan
Capital
"net worth". wealth in the form of money or property owned by a person
Character
good reputation, Integrity
Credit history
a summary of a person's borrowing and repayment history
50 dollars
In the event that your credit card is stolen in the United States, federal law limits the
liability of card holders to ____ regardless of the amount charged on the card by the
unauthorized user.
zero liability "Owes nothing"
if just the credit card account number itself is stolen, federal law guarantees that the
card holder has a___________to the issuer.
EFT
electronic funds transfer; exchange of money by sending bank records via a computer
network
FDIC
the federal government protects your money up to $250,000 in a single account
Department store charge cards.
Which of the following is considered to be open-end credit?
Notify the credit card companies
A person has three credit cards with very large outstanding balances and is unable to
make payments on any of them. Which action should the person take
10 years
When a person declares bankruptcy that fact will appear on the person?s credit report
A personal loan without assets to cover the loan amount
What is meant by an uncollateralized loan?
a collateralized loan
When a person brings an item to a pawnshop to obtain cash, the transaction is
considered
Monetary policy
Which of the following does the Federal Reserve use to regulate the nation's money
supply?
Salaries, wages, and tips
The primary sources of income for most people between the ages of 20 and 35 who are
not living on a pension or social security are:
better off financially the person is.
A person's debt ratio shows the relationship between debt and net worth. The lower the
ratio the
, Exercise Tax
A person complains about how expensive it is to be a cigarette smoker. One of the
reasons cigarettes are so expensive is that
budget variance
the difference between the budgeted amount and the actual amount that you spend
budget variance
A man budgeted $200 a month for clothing. This month the man spent $150 on clothing
therefore that budget item is considered to have
capital gains on the investment will be taxed at a lower rate.
One of the benefits of holding an investment for over a year rather than selling it in less
than a year is that the
Federal Reserve System
New coins and currency make their way into the general economy, consumers and
businesses, through the distribution system of the:
A: tax and penalty free.
After five years of owning a Roth Individual Retirement Account (IRA), a person wants
to buy his first home, the person can withdraw money from the Roth IRA
80 shares of the stock and the price of each share is $40.
An investor bought 40 shares of ABC corporation's stock at $80 a share. Two weeks
later, the investor receives notice that the corporation has approved a 2-for-1 stock split.
Based on this information, the investor would own at the moment of the split
exempt from state and local taxes.
The interest earned on United States Series EE Savings Bonds is
a secure, low risk investment.
Buying a treasury bill (T-bill) is best for investors who are looking for
Securities
A pharmacy is to drugs as the American Stock Exchange is to:
dividend reinvestment
using dividends previously earned on the stock to buy more shares
the rate of inflation.
To determine the time value of depositing $100 in a savings account, a person needs to
know the interest rate and
A long-term, fixed rate certificate of deposit
Lamar believes that interest rates are going to fall in the near future ,She should invest
in:
Compounded interest
Interest earned on interest is known as:
Truth in Lending Act
Which of the following is the federal law that requires the cost of credit be disclosed
The time value of money
Money received today is worth more than the same amount of money received
sometime in the future is:
includes the premiums paid as well as the interest
The person decides to surrender the policy. At the time of surrender, the person will
receive
reconciling a checking account
Collateral
security given for loan, assets to secure the debt
Capacity
your ability to repay the debt. Do you have sufficient $money to repay a loan
Capital
"net worth". wealth in the form of money or property owned by a person
Character
good reputation, Integrity
Credit history
a summary of a person's borrowing and repayment history
50 dollars
In the event that your credit card is stolen in the United States, federal law limits the
liability of card holders to ____ regardless of the amount charged on the card by the
unauthorized user.
zero liability "Owes nothing"
if just the credit card account number itself is stolen, federal law guarantees that the
card holder has a___________to the issuer.
EFT
electronic funds transfer; exchange of money by sending bank records via a computer
network
FDIC
the federal government protects your money up to $250,000 in a single account
Department store charge cards.
Which of the following is considered to be open-end credit?
Notify the credit card companies
A person has three credit cards with very large outstanding balances and is unable to
make payments on any of them. Which action should the person take
10 years
When a person declares bankruptcy that fact will appear on the person?s credit report
A personal loan without assets to cover the loan amount
What is meant by an uncollateralized loan?
a collateralized loan
When a person brings an item to a pawnshop to obtain cash, the transaction is
considered
Monetary policy
Which of the following does the Federal Reserve use to regulate the nation's money
supply?
Salaries, wages, and tips
The primary sources of income for most people between the ages of 20 and 35 who are
not living on a pension or social security are:
better off financially the person is.
A person's debt ratio shows the relationship between debt and net worth. The lower the
ratio the
, Exercise Tax
A person complains about how expensive it is to be a cigarette smoker. One of the
reasons cigarettes are so expensive is that
budget variance
the difference between the budgeted amount and the actual amount that you spend
budget variance
A man budgeted $200 a month for clothing. This month the man spent $150 on clothing
therefore that budget item is considered to have
capital gains on the investment will be taxed at a lower rate.
One of the benefits of holding an investment for over a year rather than selling it in less
than a year is that the
Federal Reserve System
New coins and currency make their way into the general economy, consumers and
businesses, through the distribution system of the:
A: tax and penalty free.
After five years of owning a Roth Individual Retirement Account (IRA), a person wants
to buy his first home, the person can withdraw money from the Roth IRA
80 shares of the stock and the price of each share is $40.
An investor bought 40 shares of ABC corporation's stock at $80 a share. Two weeks
later, the investor receives notice that the corporation has approved a 2-for-1 stock split.
Based on this information, the investor would own at the moment of the split
exempt from state and local taxes.
The interest earned on United States Series EE Savings Bonds is
a secure, low risk investment.
Buying a treasury bill (T-bill) is best for investors who are looking for
Securities
A pharmacy is to drugs as the American Stock Exchange is to:
dividend reinvestment
using dividends previously earned on the stock to buy more shares
the rate of inflation.
To determine the time value of depositing $100 in a savings account, a person needs to
know the interest rate and
A long-term, fixed rate certificate of deposit
Lamar believes that interest rates are going to fall in the near future ,She should invest
in:
Compounded interest
Interest earned on interest is known as:
Truth in Lending Act
Which of the following is the federal law that requires the cost of credit be disclosed
The time value of money
Money received today is worth more than the same amount of money received
sometime in the future is:
includes the premiums paid as well as the interest
The person decides to surrender the policy. At the time of surrender, the person will
receive
reconciling a checking account
