personal finance

how long can the IRS wait before announcing an audit of your tax return

6 years

which of the following will make the biggest impact on your long term financial goals

a change in your living budget and a change indoor income

which of the following is not a permissible use of a credit report

a creator looking to check any previous judgements against you after they have already given you a loan

what makes a project budget different from a living budget

a projects budget is only for a specific period of time

what is a spending plan vs a budget plan

a spending plan is when you plan out your financial future and the careful balance you make between your spending and savings is the key to building up wealth over time. A budget is what you stick to today your bills. A spending plan is what you can pay after your bills

which of the following items would negatively impact your credit score

an agency requesting to see your credit report

what is an inflation rate

an inflation rate is used to adjust amounts subject to annual increases. These amounts include rent, insurance and tax payments. From 1925 though 2014 the CPI has a long term average of 3.0% annually over the last 40 years highest CPI recorded was 13.5 % in 1980

what is the most common method of interest calculation

average daily balance

which business would likely only accept credit card

car rental

which type of balance typically carries the highest interest rate

cash advances

what are charities and donations

charitable donations often present the primary source of funding for many charitable organizations and non profit organizations

which of the following is an advantage credit cards have over debit

fewer transaction limits

if you are a regular employee of a company what form will your employer give you to show your income taxes withheld

form W-2

which condition disqualies a person from using form 1040-E2

income reported using form 1099; interest income of 2000; children to claim as dependents

which of the following is prohibited under the CARD act

increasing you intrest rate within 1 year of opening your credit card

what are fixed expenses

is an expense that will be the same total amount regardless of changes in the amount of sales production or some other activity

what is a FICA

it is a federal insurance contributions act tax; this is a US federal pay role ta imposed on both employees and employers to fund social security and medicare. It is based on the gross income on your paycheck

what is a discretionary income

it is the income remaining after deduction of taxes other mandatory charges and expenditure on necessary items

what is compound interest

it separates the piggy bank savers from the warren buffets; making use of an interest compounding is how your saving grow

what is a gross pay, and a net pay

net pay is the amount of money you actually receive each pay period. Net pay is equal to gross pay minus all deductions such as: income taxes, social security.

how often can you see your credit report for free

once per year

which of the following is best suited for a project budget

planning to buy a new car

what is the slates tax in san Bernadino and LA

san ber= 8%, LA is =8.75%

what is simple interest

simple interest is a quick method of calculating the interest change on a loan. Simple interest is determined by multiplying the daily interest rate by the principal by the number of days the elapse between payments

what is a trade allowance

the total amount that you are given for any automobile that you trade-in as part f this purchase. In some states a trade in can also reduce the amount of sales tax you will owe

what are variable expenses

their are two kinds of variable expenses: there are variable needs and wants. Variable needs are expenses that are important but may not have them every month, this includes extra money. variable wants are your expenses that come more "spur of the moment "

why would a lender want to see your credit report

to asses how likely you are to pay them back

what is an initial investment

total principal paid per month on your mortgage

what type of expenses is holiday shopping for gifts

variable needs

how do you calculate compound interest

you take the investment amount, interest rate and year

how can you budget your variable wants

your account reconciliation from last month showing how much you usually spend

which of the following is not included in your credit report

your credit score