Applied Math Midterm Review

what is a method of spending money in your checking account ?

writing a check for your purchase

The purpose of a 1040 form is to..

File your annual income tax return

what about student loans is true?

it's financially better to pay for college using scholarships and grants that it is to use loans

name three bank fees commonly associated with checking accounts, and then explain which has the potential to be most costly and how to avoid it

overdraft, outside withdrawals, international usage. Overdraft fees are the most costly out of all three, and you can avoid this by keeping track of your balance with a checkbook.

Shanice is applying to four year colleges and is 100% sure she wants to move away from home and live on campus. One of her priorities is minimizing a amount of student loans that she'll have a graduation. What are two recommendations on how to achieve that go of low student loan?

applying to scholarships to limit the amount of money she will need to cover on her own and looking into student loan refinancing, where she can exchange her student loan for a new one with lower interest rates

when using online and mobile banking, which of these is a smart tip to keep your account safe?

choose clever and secure usernames and passwords, and keep them secret

Fatima is looking forward to college graduation in the spring but no she'll need to start thinking about how to pay her student loans. What is the best approach for Fatima?

choose the repayment plan that has the largest monthly payment she can realistically afford also minimizing her interest payments

Igor receives his financial aid award letter and notices federal work-study in the amount of $2000. what does this mean?

he is eligible to take a paid work-study job while he attends college, with the expectation that he will use his earnings toward college related costs

Marcellus is going into his senior year, and he's not sure whether he intends to start college the fall after graduation or take a year off first. How should he approach the FASFA this school year?

he should file this fall regardless of what he decides; that way he has an opportunity for financial aid just in case

what represents the most accurate description of how credit cards differ from loans?

Credit card payments typically very from month to month whereas loan payments typically remain the same (as long as interest remains constant)

what represents a major convenience of using a mobile banking app ?

you can deposit physical checks by using your phone to take a picture of the front and back and sending it through your mobile app

what would represent a withdrawal you could see on your monthly checking account statement?

A debit card purchase for concert tickets you bought online

what's the difference between gross and net pay?

Gross is the original pay that they received before taxes, deductions, etc. and net is the total after these deductions.

what deduction is LEAST likely to be taken out of a high school students paycheck from their part-time job at a department store, assuming they live in a state that collects income tax

Health insurance premium

Isaiah works at a technology company in the summer and earns $3000. After federal, state, and Social Security/Medicare taxes are deducted, his take-home pay is $2500. which of the statements below is CORRECT?

His gross pay is $3000 and net pay is $2,500

What strategy will result in you paying NO interest to a credit card company?

Paying off your entire balance every month by the due date

Ryan has a major problem of overspending from each of his paychecks, even though his ultimate goal is to be saving money for college. His friend Sydney says Ryan's problem is that he's too worried about "keeping up with the Joneses"what does Sydney mean by this?

Ryan is buying too many material things or spending too much on experiences so that he feels on par with his peers

School A has a sticker price of $52,000 in an average net price of $6000 for families with income of less than $60,000. Meanwhile, School B has a sticker price of $22,000 in an average net price of $11,000 for families with income of less than $60,000. If you're number one factor in selecting a school was cost and your family income was under $60,000, which school would you choose ?

School A

what is the statement about overdraft protection that is true ?

The average overdraft fee is $25 or more

describe the difference between saving and investing

The difference between saving and investing is that what saving you're putting money aside and investing your putting money in asses that can help grow your money such as stocks, property shares, etc.

if your auto loan is amortized over five years, you will pay ____

The same size payment each month

what item would you expect to find on your monthly bank statement?

The total amount of deposits you made during that month

Marcia works a part-time job during her junior and senior years of high school. Although her main goal is to save enough for a really nice laptop, she also like to build up an emergency fund. She wants to have at least $500 to take with her in case she needs during college. What saving strategy is most likely to help Marcia meet her goal ?

determine how much she needs to save from every paycheck to afford the laptop and the emergency fund, and then auto deposit that amount into a savings account so she can't spend it.

you've just turned 16 and obtained your first part-time job. Do you want to open a checking account as well as a savings account. What question would be LEAST important to ask?

does the bank you're considering also have an investments division that can help you compound your money quickly?

what is the BEST description of what a W-4 tax form is used for ?

it tells your employer how much to withhold from each paycheck to contribute toward your taxes

what would accurately describe the difference between a traditional savings account and a certificate of deposit?

it traditional savings account keeps your money safe and allows you to add to the balance regularly, whereas a CD requires a fixed deposit amount for a fixed period of time

Caleb is trying to select his first credit card, and he's got it narrowed down to two options he thinks would work really well for her circumstances what should his final study before making a choice between the two?

read the fine print for each credit card before making a final choice

in which order do you want to apply for an accept aid to pay for college?

scholarships and grants, work-study, federal student loans, private student loans

your wealthy grandma gives you a $500 check for your middle school graduation, and you deposit it into your savings account which earns 1% compounding interest. You keep it there for four years until you're heading off to college I want to buy some dorm supplies. How much money do you have available?

slightly more than $520

provide three reasons at teenagers, in particular, she pay attention to the "fine print" regarding checking account fees

some banks include hidden fees, getting higher interest rates, and after turning 18 some banks may add monthly fees