Personal Money Management
Which of the following is a deposit institution?
A credit union
Which of the following would be considered a long-term liability
A mortgage
The main goal of personal financial planning is
Achieving personal economic satisfaction
Efficient work habits are an example of
An employee's initiative
The first step of the financial planning process is to
Analyze your current personal and financial situation
The purpose of a cover letter is to
Apply for a job
The problem of bankruptcy is associated with poor decisions in the ____ component of financial planning
Borrowing
A commitment to a profession that requires continued training and offers a clear path for occupational growth is a ____
Career
Savings compounded _____ would have the highest effective yield.
Daily
Money received by an individual for personal effort is ___ income
Earned
The main purpose of taxes is to
Generate revenue for funding government programs
A ____ is an employment position that is obtained mainly to earn money
Job
The ability to convert financial resources into usable cash with ease is referred to as
Liquidity
Jennifer Rodrick uses a computer to help her record her spending each month. She updates her records each week. This would be an example of
Money management
The final step of the career planning process is to
Plan for career development
An expense that would be included in the itemized deductions of a taxpayer is
Real estate property taxes
Special class projects can be preented on a resume as _____ experience.
Research
A ____ endorsement is especially useful when you are depositing checks
Restrictive
The uncertainty associated with decision making is referred to as
Risk
The storage of funds for future use is a purpose of _______ services
Savings
An interview designed to reduce the nimber of candidates for a position to a workable size is a _____ interview
Screening
Opportunity costs refers to
Trade-offs associated with financial decisions
A taxpayer with a taxable income of $47,856 and a total tax bill of $5,889 would have an average tax rate of _____ percent
12.3%
A pawnshop with a monthly interest rate of 2.75 percent would have an annual interest rate of ___ percent
33
Which of the following institutions is organized primarily to provide loans to purchase homes?
A Mortgage company
The Hernandez family budgets $420 a month for food. Last month they spent $413, which creates
A budget surplus of $7
Which of the following presents a summary of income and outflows for a period of time?
A cash flow statement
What type of account would be considered the most liquid?
A checking account
Which of the following would qualify a person for an exemption when computing taxable income?
A dependent
Which of the following is not a deposit instiution?
A life insurance company
What type of account would you expect to provide the poorest yield?
A passport savings account
Which of the following institutions makes loans based on the value of tangible possessions?
A pawnshop
In a recent month, Ken Grossman has cash inflows of $3,100 and cash outflows of $2,950, resulting
A surplus of $150
The stages that an individual goes through based on age, financial needs, and family situation is called the
Adult life cycle
Creative resumes or those with a gimmick are most appropriate for careers in
Advertising
Which of the following would be a competency commonly associated with successful people?
All the above
Which type of tax expert would be of most value when you have a difference of opinion with the IRS?
An attorney
The first step of the career planning process is to
Assess your interestsl abilities, and goals
Items that you own with a monetary worth are referred to as
Assets
The use of legitimate methods to reduce one's taxes is tax ____
Avoidance
A saver will usually earn the highest rate with which of the following types of savings plans?
Certificate of deposit
A _____ resume presents a person's education, work experience, and other information in a reverse time sequence
Chronological
Traditionally, the greatest variety of financial services have been offered by a
Commercial bank
The Federal Deposit Insurance Corporation provides deposit insurance for
Commercial banks and savings and loan associations
Warranties are commonly associated with _____ purchases
Consumer
Which type of organization does not provide home mortgages?
Consumer Finance Companies
In recent years, membership in credit unions has
Continued to increase
The business hours and location of a financial insitution refer to the ____ factor of selecting a financial institution
Convenience
A question associated with the saving component of financial planning is
Do you have an adequate emergency fund?
John Garic has just moved into a new house and needs a lawn mower since he has always lived in apartments and now he has a lawn to mow. What type of goal would this be for John?
Durable-products goal
The study of how wealth is created and distributed is
Economics
Changes in income, values, and family situation make it necessary to
Evaluate and revise your actions
A home file should be used for
Financial records for current needs
When it comes to savings, most Americans
Find saving difficult
Payments that do not vary from month to month are _____ expenses.
Fixed
A lack of willingness to accept a variety of employment positions is a common career planning mistake associated with weak
Flexibility
Most people pay federal income tax by
Having amounts withheld from income
Drew Davis earns $4,500 per month from his job at Cisco Systems; $900 is withheld from this amount each month for taxes. What type of tax is this most likely to be?
Income tax
Money received in the form of dividends or interest is _____ income
Investment
As Jean Taylor plans to set aside funds for her young children's college education, she is setting a _____ goal
Long-term
A common criticism of including a career objective on a resume is that it
May be too vague
A financial institution organized for the main purpose of providing loans to purchase homes is a
Mortgage company
Attempts to increase are part of the ______ component of financial planning
Obtaining
Tom Husson recently coordinated a fund raising project for an organization that assists homeless youth. This would most likely be an example of experience in
Obtaining financial planning and budgeting skills
For an entry-level position, a person's resume is likely to be
One page
To avoid high fees for loans, a person should not borrow from a
Pawnshop
Which of the following would likely lead to the most added income over an individual's working career?
Professional or doctorate degree
A taxpayer whose spouse recently died is most likely to use the ___ filing status
Qualifying widow or widower
The purpose of a selection interview is to
Question candidates for a job in detail
The financial planning process concludes with efforts to
Review and revise your actions
Which of the following financial documents would most likely be stored in a safe-deposit box?
Savings certificates
The education section of a resume should include
Schools attended
An example of a personal and employment document is a
Social security card
When an individual makes a purchase without considering the financial consequences of that purchase, they are ignoring the aspect of financial planning
Spending
Total earnings of a person minus the deductions for taxes and other items is called
Take-home pay
A ______ resume is designed to obtain a specific job
Targeted
A common deduction from a person's paycheck is for
Taxes
A chronological resume presents personal data based on
Time
The purpose of a debit card is to
Transfer money electronically