Fin 120 Ole Miss Final Exam

When creating a budget, it is important to

"Pay yourself first" by setting aside savings before other expenses are budgeted.

What is the unit price of a 32 ounce box of brown sugar that costs $3.20?

$0.10 per ounce.

Mary Sue owns 1,000 shares of QRS Moving Company. QRS pays a yearly dividend of $1.00 per share. What is the total annual dividend that Mary Sue will receive?

$1,000.00.

What is the approximate market value of a bond that pays $60 interest each year if comparable interest rates have dropped to 5%?

$1,200

Using the information given here, what is the price-earnings ratio for DEF Company? Number of shares outstanding = 60,000 Price per share = $30 Book value per share = $10 Earnings per share = $3.00 After-tax income = $180,000

$10.00

Acme Home Lending offers home equity loans up to 80% of the home value for its customers. If Sally Johnson has a home valued at $200,000 and a current mortgage of $50,000, how much can she borrow in a home equity loan from Acme?

$110,000

Sally was driving her own car and collided with a pickup truck. Sally sustained $125,000 in injuries, and her passenger sustained $10,000 in injuries. If her coverage was 100/300/50, what are the total medical expenses the insurance company would pay for this accident?

$110,000

If Melinda Miller estimates that her $100 weekly grocery bill will increase at an annual inflation rate of 4%, what should her weekly grocery bill be in 3 years?

$112.50

Joseph purchased 100 shares of ABCD Growth fund for $10.00 per share for a total investment of $1,000. At the end of one year, he sold his investment for $11.20 per share. What is his total capital gain?

$120.00

Victor read the fine print for a checking account he was thinking about using. The fine print said, "A minimum balance of $500 is required. If your balance falls below this level, you will be assessed a monthly fee of $10." Since Victor was planning to keep only a $50 balance in his account, how much could he be charged each year?

$120.00

Brett bought a house five years ago for $150,000. At that time he borrowed $140,000 from his bank. The house is now worth $162,000. The current value of his mortgage must be no higher than_______for him to request termination of his PMI policy.

$126,360.

Timothy Carter went out to eat with his girlfriend at a fancy restaurant. When he tried to pay the bill with his MasterCard credit card, he was told that the restaurant accepted only cash or American Express. His waiter suggested that he use the ATM across the street to withdraw cash using his credit card. Tim did as suggested and didn't pay attention to any fees until he received his credit card statement one month later. He was shocked to see the total fees (3% cash advance), and his APR was increased to 21%. Given the cost of the meal ($125) plus the associated fees, how much did his meal cost him?

$130.94.

Tim and Tammy are updating their financial plan and are concerned that they might not have enough life insurance coverage for their family, which includes two children, ages 4 and 10. They have determined that their annual income is $70,000 and their net worth is now $150,000. What is the amount of life insurance they should carry using the "nonworking" spouse method?

$140,000

If a $10,000 investment earns a 7% annual return, what should its value be after 6 years?

$15,007

Cynthia was charged $300 for a specialist office visit. Her indemnity policy will pay $125. What amount will she have to pay?

$175

Stephanie is the wage earner in a "typical family" with $40,000 gross annual income. Use the easy method to determine how much insurance she should carry.

$196,000

Mary Jane owns 1,000 shares of TUV Trucking Company. TUV pays a yearly dividend of $2.00 per share. What is the total annual dividend that Mary Jane will receive?

$2,000.

Using the information given here, what are the earnings per share for GHI Company? Number of shares outstanding = 150,000 Price per share = $60 Book value per share = $20 Earnings = $375,000

$2.50

What is a typical copayment amount for individuals?

$20-30

The investments in the Already Been Counted Fund have a current market value of $600 million. The fund also has liabilities that total $40 million. If this mutual fund has 25 million shares, what is the net asset value per share?

$22.40.

Fredrick received a $1,400 loan from the bank for a new appliance. The bank is using the simple interest formula for this two-year, 8% loan. What is his total interest?

$224

Peter borrowed $225. He paid $20 interest and a service charge of $3.00. What is his finance charge?

$23.00

Georgia has a health insurance policy that includes a deductible of $500. If her total bill is $3,000, how much will her insurance pay?

$2500

Suppose you borrow $300 for one year and pay a finance charge of $20. If you repay this loan all at once after one year, what is your average balance?

$300

Tim and Tammy are updating their financial plan and are concerned that they might not have enough life insurance coverage for their family, which includes two children, ages 4 and 10. They have determined that their annual income is $70,000 and their net worth is now $150,000. What is the amount of life insurance they should carry using the easy method?

$343,000

The investments in the Alamo Basics Contingency Fund have a current market value of $800 million. The fund also has liabilities that total $60 million. If this mutual fund has 20 million shares, what is the net asset value per share?

$37.00

A family with $100,000 in assets and $60,000 of liabilities would have a net worth of

$40,000.

Brenda lost her debit card. When she realized it was gone, her account had $173 in unauthorized charges. She notified her financial institution within two days. How much is she potentially liable for?

$50.

Assume that you purchase a $1,000 bond issued by GE that pays 5% interest each year. What is the annual interest amount?

$50.00

If your monthly expenses total $2,000, you should save at least _______ in an emergency fund before focusing on your investment program.

$6,000

If you have a $150,000 30-year 5% mortgage, how much of your first monthly payment of $805.50 would go toward interest?

$625.00

The Anderson Balanced mutual fund charges a sales load of 4.85%. If you invest $15,000, how much must you pay in commissions?

$727.50

Sandy went to the doctor three times, and each appointment cost $200. Her copayment was $25 per visit. How much was Sandy required to pay in total for her three visits?

$75

If you want $1,000 three years from now and you earn 4 percent on your savings, how much do you need to deposit now?

$889

In 2012 you purchased a $1,000 par value bond paying 3% interest with 20 years to maturity. If rates on comparable bonds 10 years later in 2022 have increased to 4%, what could you sell your bond for?

$918.89

Marianne and Roger are in good health and have reasonably secure careers. Each earns $45,000 annually. They own a home with a $125,000 mortgage; they owe $25,000 for their car loans and have $22,000 in student loans. If one should die, they think that funeral expenses would be $12,000. What is their total insurance need using the DINK method?

$98,000

If a bond is quoted in the newspaper at 105, what is its price?

1,050.00

Information about a personal bankruptcy may be reported in your credit file for

10 years.

Amanda and Jack are working on their taxes and need to determine which form to file. They had wages, interest, and dividends. In addition, they bought a house this past year and are thinking of itemizing their deductions. Which form should they use?

1040

At the end of the year, Walter received a form that showed his payments from independent contracting. That form is called a

1099.

At the end of the year, Yvonne received a form from her bank that reported income from her savings. That form is called a

1099.

George Franklin paid taxes of $4,375 on a taxable income of $32,000. What was his average tax rate?

13.7%

Shelby purchased 100 shares of ABCD Growth fund for $10.00 per share. She had income dividends of $15, capital gain distributions of $35, and a capital gain of $120 in the year she sold her shares. What was her percentage of total return on this investment?

17%

A good rule of thumb is to limit installment payments to ____________ of your net (after-tax) income.

20%

Experts suggest that the debt payments-to-income ratio should be a maximum of

20%

FICO scores generally range from

350 to 850.

Place the following steps for a personal financial plan in the proper order: 1. Review and revise the financial plan 2. Identify alternative courses of action 3. Create and implement your financial action plan 4. Determine your current financial situation 5. Evaluate alternatives6. Develop your financial goals

4, 6, 2, 5, 3, 1

A salary-reduction plan is also known as a

401(k) plan.

If a $10,000 investment earns interest of $500 in one year, what is its rate of return?

5 percent

Financial experts recommend monthly savings of ____ of gross income.

5-10%

Fred has been completing his own tax returns for years. The IRS has recently contacted him with questions about some of his prior returns. How many years back is he responsible for providing documentation?

6 years.

You are considering an investment in a municipal bond that has a yield of 5%. Your tax rate is 25%. What is your taxable equivalent yield?

6.67%

Given the information shown here for NMOP Inc., calculate the dividend yield. Annual dividend = $4.00 Current market price per share = $60.00

6.7%.

What is the APY for a one-year $4,000 certificate of deposit with $280 interest?

7%

A load fund is allowed to collect a sales charge (commission) as high as ___ of the purchase price for investments.

8.5%.

A credit card holder who pays off his balances in full each month is known as

A convenience user.

Billy accepted a job at a company that specializes in providing money for short-term retail lending. Where did he go to work?

A credit card company

All of the following are deposit institutions except

A finance company.

While evaluating alternatives, comparison shopping will be beneficial for buying all of the following except

A hot dog at the baseball park.

Which of the following is not correct?

A managed fund will outperform an index fund only 60% of the time.

Which of the following is an example of closed-end credit?

A mortgage loan.

An individual who purchases an insurance policy is called

A policyholder.

Shelby has an account at a financial institution that will waive the monthly fee if she keeps a certain amount in savings. What kind of account does she have?

A regular checking account.

A policy that pays you back for actual expenses is called

A reimbursement plan.

Susan Smith has a goal of "saving $25 per month for a TV". Considering the SMART approach, Susan's goal lacks

A time frame

Gross income less Adjustments to Income equals

Adjusted gross income.

Detailed financial reports from advisory services such as Value Line include all of the following sections except

All of the information in A, B, and C are included in financial reports. Top of the report includes price information and price projections for a share of stock. Middle of the report includes revenues, earnings per share, dividends, etc. Bottom of the report includes information about the type of business and prospects for the future.

Which of the following is not a major source of retirement income?

All of these are major sources of retirement income. Annuity. Employer pension plan. Personal retirement plan. Public pension plan.

The Patient Protection and Affordable Care Act of 2010

All of these are true. Prohibits denying coverage to children with preexisting medical conditions. Bans insurance companies from dropping people from coverage when they get sick. Eliminates co-pays for preventive services. Ensures consumers have access to an effective appeals process to appeal decisions by the health insurance plan.

Which of the following is a component of money management?

All of these choices are components of money management. Storing and maintaining personal financial records and documents. Creating a balance sheet. Creating and implementing a plan for spending and saving. Creating a cash flow statement.

Tom wanted to receive as many discounts on his home insurance as possible. Which of the following would NOT provide a discount?

All of these should provide a discount for Tom. Smoke detector. Fire extinguisher. Deadbolt locks. Alarm systems.

Which of the following are associated with a vehicle lease?

All of these. Capitalized cost. Money factor. Payment schedule. Residual value.

Medicaid covers

All of these. Lab services. Skilled nursing and home health services. Prescription drugs. Eyeglasses.

Which of the following statements is incorrect?

An annuity is more advisable for people in poor health than for those who are likely to live longer than average.

Who is most likely to use a home health care agency?

An elderly neighbor.

Medical payments coverage applies to medical expenses of

Anyone who is injured in your vehicle, including you.

When Nancy buys her house, the mortgage company will usually conduct a(n)

Appraisal

This health insurance provision lets your insurer make direct payments to your doctor or hospital.

Assigned benefits

An example of a lifecycle fund is a fund that

Assists investors with planning for retirement by a specific date.

Homeowner's insurance covers all of the following except

Automobiles

The tax based on the total tax due divided by taxable income is called the

Average tax rate.

Another name for a statement of financial position is a

Balance sheet.

Which of the following is not a true statement?

Because investment goals deal with the future, it is ineffective to make long-term goals.

Amy bought a life insurance policy and named Ben as her beneficiary. Amy still lives with her parents who provide some of her living expenses. She has since died. Who will receive the benefits from her policy?

Ben.

Chloe signed the back of her check with just her signature. She used a(n)

Blank endorsement.

he problem of bankruptcy is associated with overuse and misuse of credit in the ______________ component of financial planning.

Borrowing

Which of the following is based on historical numbers?

Both B and C. Earnings per share. Price-earnings ratio.

If you have an interest rate subsidy from a home builder or real estate developer, you have a

Buy-down.

When you sell your shares in a mutual fund, you may receive a profit that results from an increase in value called

Capital gain.

The price of a leased vehicle is known as the

Capitalized cost.

If you want to purchase term insurance, you will receive all of the following except

Cash value.

The question "Will you repay the loan?" relates to

Character

Molly purchased a $1,500 dishwasher from Best Appliances. She will make 12 equal payments over the next year to pay for it. She is using

Closed-end credit.

When you retire, you will probably spend less money on

Clothing.

The use of property or savings to secure a loan relates to

Collateral.

When you select a financial services provider, you may find all of the following to be major factors except

Company logo.

When Jane researched the brands and prices of refrigerators, she was

Comparison shopping.

The insurance that helps pay hospital, surgical, medical, and other bills with a low deductible is known as a(n)

Comprehensive major medical policy.

Albert left his vehicle parked on the street in the front of his house when he went on vacation. While he was gone, his street flooded and his car was severely damaged. This damage would be covered under his

Comprehensive physical damage coverage.

Samantha was driving on the highway during a storm and hail dented her car. This damage would be covered under her

Comprehensive physical damage coverage.

Which of the following is a form of housing in which the units are owned by a nonprofit organization?

Cooperative housing

A young employee is buying individual life insurance and is worried about the impact inflation will have on his life insurance coverage. Which of the following riders should he consider?

Cost-of-living protection

Consumer credit

Dates back to colonial times.

What circumstances would allow a student loan to be cancelled?

Death School closure while you are enrolled Fraud by the school Death Total and permanent disability School closure while you are enrolled Fraud by the school

Which of the following will increase the net worth of a household?

Decrease spending by $5 per day

Which of the following is NOT a type of permanent life insurance?

Decreasing term

Which of the following is the document that transfers ownership of property from one party to another?

Deed

What circumstances would allow a student loan to be deferred?

Demonstrated financial hardship Unemployment Military deployment Re-enrollment in school Demonstrated financial hardship Unemployment Military deployment

Present value computations are also referred to as

Discounting

Which of the following are major reasons that investors purchase mutual funds

Diversification and professional management.

If you buy common stock, you may receive income from

Dividends. Dollar appreciation of stock value. Possible increases in value from stock splits All of these are correct.

Frank and Diane want to buy a house. Which of the following do they need before they purchase a house?

Down payment.

Michael is concerned that the health insurance option he is considering plays upon unrealistic fears. He is most concerned about a

Dread disease policy.

Judy and James have a 4-year-old child. They plan to purchase life insurance using this formula: Current income × 7 × 70%. Which method are they using to determine their life insurance needs?

Easy method

An example of a variable expense is a(n)

Electric bill.

Under the Patient Protection and Affordable Care Act of 2010, which of the following is NOT correct?

Employers must offer continuing coverage through COBRA for up to 24 months after you leave your job.

Which of the following is NOT one of the three major credit bureaus?

FICO

Francisco and Maria have three children and want to complete a detailed worksheet to determine the amount of life insurance they need to purchase. They will consider factors such as Social Security and liquid assets. Which method are they using to determine their life insurance needs?

Family need method

Which of the following is NOT a tax that most people pay?

Federal taxes on possessions

Which of the following allows an individual to receive a fixed amount of income over a certain period of time, or over his or her life?

Fixed annuity

Most products come with some guarantee of quality. This type of warranty states that a defective product can be fixed or replaced during a reasonable amount of time.

Full warranty

Steve Wilson wants to deposit $150 per month into an account earning 4 percent for the next 3 years, so he can purchase a used car at that time. What type of computation would he use to determine the amount he will have accumulated for his purchase?

Future value of an annuity

Which of the following costs will increase directly with the number of miles driven?

Gasoline

Pam just started working at XYZ Widget Company and finally wants to get insurance coverage through her employer. She does not want to take a medical exam to get coverage, because she has some underlying health conditions and is concerned that she might not qualify for a policy. Which of the following life insurance policies should she apply for?

Group life

If you are concerned that your disability insurer may try to cancel your coverage if your health becomes poor, you should look for a plan that offers

Guaranteed renewability.

Paul bought some bad gasoline that damaged the gas tank of his vehicle.

He should provide the gas station with documentation of his purchase and all repair costs.

Franklin wants to sell his house himself. Which of the following is NOT good advice about his sale?

He should show the house only when he is home alone.

Cameron, age 25, sustained a debilitating hand injury and was unable to perform his job as a viola player in the local orchestra for 45 days. His employer has a disability income insurance policy that pays 70% of take-home pay with an elimination period of 60 days and coverage to age 65. Given this information, which of the following is true for Cameron?

He will not be eligible for any disability income because his disability ended before the elimination period ended.

Monica's employer offers a health insurance plan with a very high deductible. In addition, her employer provides a fund for her to spend specifically on health care. What kind of plan does she have?

Health Reimbursement Account

Which of the following is correct?

Health insurance plans may reimburse an individual for hospital stays, doctors' visits, and medications.

When Paul completes his taxes, he can include all of the following as exemptions except

His 20-year-old son who is working full-time and living in an apartment.

An "average" older (65+) household spends most of its money on

Housing.

To develop financial goals, one should

Identify specific, realistic goals that are measurable along with a time frame and an action plan

Which of the following annuities is purchased with a lump-sum payment and allows an individual to receive income payments beginning now?

Immediate annuity

Fred bought life insurance five years ago. He forgot to tell them that he had a heart condition, and, as a result of that condition, he recently died. Which of the following provisions prevents the life insurance company from refusing to pay his beneficiaries because of his original fraudulent misrepresentation?

Incontestability clause

A certificate of deposit that has earnings based on the stock market is called a(n)

Indexed CD.

Medicare (Part A) covers

Inpatient hospital care.

An insurance company will

Insure pure risk, but not speculative risk.

This health insurance provision sets specific levels of repayment for certain services.

Internal limits

Heidi plans to purchase a pickup truck. The range available for negotiation is the difference between the sticker price and the

Invoice price.

Of the following, which one is the most positive feature of whole life insurance for a person who wants a more structured way to save?

It builds cash value.

A joint account with Sara and John allows

John and Sara to both write checks on the account.

Another name for an H.R. 10 plan or a self-employed retirement plan is a

Keogh plan.

A legal document that includes information about the due date of monthly rent is called a

Lease.

Adolph has a low income and cannot afford his own attorney. He needs legal assistance and should make use of (a)

Legal aid society.

When investing, in your role as an investor you should not

Let the investments manage themselves.

A credit card is a type of

Loan/borrowing.

The goal of investing $50 per month for the next 12 years for your nephew's college fund is a(n) __________ goal.

Long-term

Which of the following should reduce your auto insurance premium?

Maintain good grades in college

Which of the following is NOT a benefit of home ownership?

Maintenance and costs of repairs and home improvements

Diane purchased her house and had it assembled before it was moved to her lot. She purchased a

Manufactured home.

Peter is a NASDAQ dealer who matches buy and sell orders for Ford. He is known as a(n)

Market maker.

A process used to settle grievances in a nonbinding process is called a(n)

Mediation.

Jack needs comprehensive medical coverage. However, his income is very low. What plan should he investigate?

Medicaid

A vehicle lease has several costs. Which of the following is the interest rate used to calculate the monthly cost?

Money factor.

Discretionary income equals

Money left over after paying for housing, food, and other necessities.

This term life insurance policy will guarantee that you will pay the same premium for the duration of your policy.

Multiyear level term

Private mortgage insurance

Must be terminated automatically when the homeowner's equity reaches 22% of the property value at the time the mortgage was executed.

Barbara left a skateboard on her front steps. Her neighbor tripped on the skateboard and was injured. The fact that Barbara didn't put away the skateboard is called

Negligence

The failure to take ordinary or reasonable care to prevent accidents from happening is called

Negligence

NYSE stands for

New York Stock Exchange.

Which of the following have reduced or eliminated mutual fund coverage?

Newspapers

Jeanne wants to purchase a life insurance policy with guaranteed premiums. What kind of policy would she want to purchase?

Nonparticipating policy

Todd plans to purchase a life insurance policy from a stock life insurance company. What kind of policy is he planning to purchase?

Nonparticipating policy

When creating a budget, which of the following statements is true?

Numbers in the budget are estimates.

Kelly bought some stock using an investment bank from the issuer of those securities. She bought her shares

On the Primary market.

Whose shares are issued and redeemed by the investment company at the request of investors?

Open-end fund

After you have reached a certain limit that you must pay for the deductible and coinsurance, the insurance company covers 100% of any additional cost. This is called

Out-of-pocket limit.

What type of public service could lead to loan forgiveness?

Peace Corps Military service Teachers serving low income areas Medical students working in low-income or remote areas Peace Corps Military service Teachers serving low income areas Medical students working in low-income or remote areas

Which of these types of loans or grants are "subsidized"?

Perkins Loans Stafford Loans

Insurance that covers valuable items, such as an expensive musical instrument, is called

Personal property floater.

The two basic types of risk that people face regarding potential property losses are

Physical damage and damage caused by criminal behavior.

Yvonne's employer offers a health plan that has a group of doctors and hospitals that agree to provide specified medical services to members at prearranged fees. This health plan offers some flexibility since members can either visit a physician from a list or go to their own doctors. What kind of plan does her employer offer?

Preferred provider organization (PPO)

What is the fee that a policyholder pays when an insurance company agrees to take on the risk?

Premium

If you want to compare two companies, you should use

Price-earnings ratio.

These products are sold by one chain of stores and are low-cost alternatives to famous-name products.

Private-label or store brands.

The Equal Credit Opportunity Act (ECOA) prohibits a lender from discriminating based on

Race. Nationality. Age. Sex. All of these are prohibited.

A cash advance

Requires you to pay interest every day until you repay the cash advance

When creating a personal balance sheet, which of the following is an investment asset?

Retirement account such as a 401k

Which of the following is not a way one can access reliable information about mutual funds on the internet?

Review blogs from amateur investors about their favorite mutual funds.

If you choose to wear your seatbelt, you are using

Risk reduction.

Lawrence is self-employed and wants to establish the simplest type of retirement plan. He should set up a

SEP plan.

Which of the following goals would be the easiest to implement and measure?

Save $100 a month to create a $2,400 emergency fund in 2 years.

Ben is selling stock that he borrowed from his broker and planned to replace at a later date. Which of the following strategies is he using?

Selling short

A no-haggling dealer presents the price of a new car to be accepted or rejected as stated and is called a ___ dealer.

Set price.

Jim wants to make an offer to buy an older house. At this point, he should

Set up a home inspection.

Which of the following is a deduction to determine take-home pay?

Social Security taxes

Robert's wife Fiona does not work, and they file a joint tax return. Robert can contribute on behalf of Fiona into a

Spousal IRA.

For which type of loan does interest accrue WHILE the student is still in school?

Stafford loans

The amount printed on a label with the suggested retail price that is posted on a vehicle is called the

Sticker price.

Which of the following investments typically has the most risk?

Stocks

If a check is lost or stolen, you should use a

Stop-payment order.

The opportunity to have another person take over rent payments and live in the rental unit is called (a)

Subletting.

The type of health insurance coverage that may specify the maximum payment amount for each type of operation is

Surgical expense.

A security issued by the U.S. government where the principal increases with inflation and decreases with deflation is called a

TIPS

Making financial decisions related to income involves all of the following except

Taking

Which of the following is NOT an action that can reduce your taxes?

Taking out a consumer loan.

If Brenda wants to pay her fair share of taxes, no more and no less, she should practice

Tax avoidance.

The taxable equivalent yield for a municipal bond is calculated using the

Tax-exempt yield and the investor's tax rate.

Which of the following is a disadvantage of renting?

Tenants cannot take tax deductions for mortgage interest and property taxes.

Which of the following is NOT a type of permanent insurance?

Term life

Another name for temporary life insurance is

Term life insurance.

This trust is established by your will and becomes effective upon your death.

Testamentary trust

Who is responsible for a loan repayment?

The cosigner and/or the borrower

Sam is comparing the costs of two loans. The principal amount of each loan is $5,000. One is due in one year and the other is due in four years. Both have the same stated rate of annual interest. Which of the following is true?

The interest charges for the one-year loan will be lower than the interest charges for the four-year loan.

Time is an important factor when evaluating a managed mutual fund for which of the following?

The length of time that the present fund manager has been managing the fund.

Sandra is contacting several insurance companies to compare coverage for her home. Which of the following should NOT affect her premium?

The location of your employer.

A line of credit is

The maximum dollar amount of credit the lender has made available to a borrower.

Which of the following is NOT a feature of whole life insurance?

The policy will return all premiums if you survive to the end of the policy.

Most people receive health insurance under a group plan from

Their employer.

A legal arrangement that helps manage the assets of your estate for your benefit or that of your beneficiaries is called a

Trust.

The financially independent firm or individual that acts as the bondholders' representative is the

Trustee.

A policy that supplements your basic personal liability coverage is called a(n)

Umbrella policy.

Various states are trying to reduce the time and cost of settling vehicle injury cases. One alternative is

Using the no-fault system.

Which of the following allows an individual to receive an amount of income that will change based on the income received from stocks or other investments over a certain period of time, or over his or her life?

Variable annuity

Which of the following is incorrect?

Very little information is available about stocks.

Which of the following is NOT correct regarding why Health Care costs so much?

Victims of accidents and crimes require fewer emergency medical services than in the past.

When estimating your budget or spending plan at retirement, you should consider all of the following except

Withdrawing all retirement savings within five years of retirement.

Which of the following short-term goals is stated most clearly using the SMART approach?

Within the next 6 months, buy a car for less than $15,000

Katrina was injured in an accident at work. The benefits she will receive to cover part of her income will come from

Worker's compensation.

If you are denied credit,

You are entitled to a free copy of your credit report.

If you have a loss due to a flood,

You must have already purchased special coverage if you live in an area that has frequent floods in order to be covered.

All of the following are warning signs of debt problems except

You pay your credit card bills in full each period.

If you have a multiyear level term policy,

Your premium will be the same for the duration of your policy.

Older investors are often more interested in ______ investments.

conservative

Choose all of the items which you should take to your interview

copies of your resume paper for notes copies of your resume reference list paper for notes

When Sam applied for a loan, he was assured that his rate would not change if he closed within 30 to 90 days. Sam had a(n) ______ on the interest rate.

lock

Patrick graduated from college five years ago. He has set up an emergency fund and has been paying off his student loans. In addition, he participates in the retirement plan offered by his employer. He wants to invest $75 per month in very small companies (capitalization between $50 and $300 million or less). He should purchase _______ stocks.

micro cap

Choose all of the items which should be on your resume

name email address phone # name email address

Resolution of any purchase concerns is part of the ____ phase of the research-based buying process.

post purchase activities

Sally wants to invest in a mutual fund. The mutual fund must provide a(n) ____ to her as a potential investor.

prospectus

Which of the following is NOT one of the commonly used general risk management techniques?

risk maximization

An insurance company is a _________ business that agrees to pay for losses that may happen to someone it insures.

risk-sharing.

Negotiation activities are part of the ____ phase of the research-based buying process.

selection and purchase

A fund to which annual or semiannual deposits are made for the purpose of redeeming a bond issue is called a(n) ____________ fund.

sinking