WISE Certification Study Guide
If a fire happens to someone's house, what type of insurance will pay for the damage
most likely? - ANS-Home insurance
If a corporation was sued and lost a major lawsuit, what will happen to the price of their
stock? - ANS-Price of stock increases
Why is a stock characterized as a "growth" stock? - ANS-The corporation is expected to
increase significantly in revenues and earnings.
An example of a long-term investment is: - ANS-Investing in mutual funds
A person is using a $25 gift card for the first time. The balance left to use on the card is
now $23. What is the reason for the reduced available amount? - ANS-Inactivity fee
T/F....Debit card puchases should be recorded in a checkbook register. - ANS-True
Why does the government tax cigarettes? - ANS-Increase revenue and stop people
from smoking
Roy Williams has $1,000 to invest. He is thinking that interest rates or rates of return will
increase during the year. What should he buy? - ANS-He should buy a certificate of
deposit that is will mature either in 3 months, 6 months or a year.
When buying stock, what should you be aware of? - ANS-if the price of the stock will go
up or down.
Why would people be warned against taking payday loans? - ANS-People get trapped
into re-borrowing over and over again.
What should be included when writing a will? - ANS-Beneficiaries
What is a benefit of paying bills automatically from a bank account? - ANS-Bills are paid
on time
What is the purpose of renters insurance? - ANS-Protect property
If a fire happens to someone's house, what type of insurance will pay for the damage
most likely? - ANS-Home insurance
If a corporation was sued and lost a major lawsuit, what will happen to the price of their
stock? - ANS-Price of stock increases
Why is a stock characterized as a "growth" stock? - ANS-The corporation is expected to
increase significantly in revenues and earnings.
An example of a long-term investment is: - ANS-Investing in mutual funds
A person is using a $25 gift card for the first time. The balance left to use on the card is
now $23. What is the reason for the reduced available amount? - ANS-Inactivity fee
T/F....Debit card puchases should be recorded in a checkbook register. - ANS-True
Why does the government tax cigarettes? - ANS-Increase revenue and stop people
from smoking
Roy Williams has $1,000 to invest. He is thinking that interest rates or rates of return will
increase during the year. What should he buy? - ANS-He should buy a certificate of
deposit that is will mature either in 3 months, 6 months or a year.
When buying stock, what should you be aware of? - ANS-if the price of the stock will go
up or down.
Why would people be warned against taking payday loans? - ANS-People get trapped
into re-borrowing over and over again.
What should be included when writing a will? - ANS-Beneficiaries
What is a benefit of paying bills automatically from a bank account? - ANS-Bills are paid
on time
What is the purpose of renters insurance? - ANS-Protect property
