econ everfi

Which of the following typically have the highest fees? a) Check cashing and payday loan companies b) Credit unions c) Brick-and-mortar banks d) Internet banks

a) Check cashing and payday loan companies

Which type of bank account is best for everyday transactions? a) Checking Account b) Savings Account c) Money Market Account d) Certificate of Deposit

a) Checking Account

Which type of bank account typically offers the least (if any) interest to earn? a) Checking account b) Savings account c) Money market account d) Certificate of deposit

a) Checking account

Which of the following is NOT a good way to track your spending? a) In your head b) Notebook and pencil c) Envelope method d) Online software or app Clear selection

a) In your head

Which of the following expenses would be a good reason to spend money from an emergency fund? a) Repair your laptop that you use for homework. b) Upgrade your phone to the latest model. c) Buy new track shoes because they're in style. d) Purchase concert tickets to see your favorite artist.

a) Repair your laptop that you use for homework.

Healthcare, paid time off, disability insurance, and matching contributions to a retirement account are all types of _________ available from your employer. a) benefits b) pensions c) deductions d) allowances

a) benefits

How can insurance protect you from financial loss? a. Insurance can cover you or your property in case of an accident, theft, or another unpredictable event b. Insurance can offer easy monthly payment options for premiums. c. Insurance can offer low co-insurance policies. d. Insurance can offer warranties on household items

a. Insurance can cover you or your property in case of an accident, theft, or another unpredictable event

When filing an insurance claim, the policyholder must pay a ________________, which is the amount you owe before insurance will cover the rest of the bill. a. deductible b. premium c. contract fee d. commission

a. deductible

Which is a positive reason for using a credit card to finance purchases? a) You will get charged high interest. b) Paying it off on time can help build your credit history c) You won't have to budget for your credit card expenses. d) You'll be able to spend a lot of money without paying it back

b) Paying it off on time can help build your credit history

What is net pay? a) The amount of pay earned for the total number of hours worked. b) The amount of money you're paid after all taxes and deductions are taken out of your paycheck. c) The amount of money you're paid before all taxes and deductions are taken out of your paycheck. d) Your gross pay plus any bonuses.

b) The amount of money you're paid after all taxes and deductions are taken out of your paycheck.

Which is not an example of a risk management strategy? a. Wearing reflective clothing while biking at night b. Buying a new car c. Wearing a helmet while biking d. Wearing a seat belt while driving

b. Buying a new car

Which method of payment actually is a form of money that needs to be paid back? a. Cash b. Credit Card c. Debit Card d. Check

b. Credit Card

Which of the following answers lists 4-year colleges from generally the LEAST expensive to MOST expensive? a. In-state public university, private university, out-of-state public university b. In-state public university, out-of-state public university, private university c. Private university, in-state public university, out-of-state public university d. Out-of-state public university, private university, in-state public university

b. In-state public university, out-of-state public university, private university

What should you NOT use a loan to purchase? a) A house b) Tuition for higher education c) Airline tickets to your dream vacation d) A ca

c) Airline tickets to your dream vacation

Which of the following statements is TRUE? a) If there is a mistake on one of your bank accounts, there is nothing you can do about it. b) If there is a mistake on one of your bank accounts, you should wait 30 days as these issues tend to resolve themselves. c) If there is a mistake on your bank account, you should contact your financial institution immediately. d) None of the above

c) If there is a mistake on your bank account, you should contact your financial institution immediately.

Benefits to paying the full balance of your credit card each month include... a) Paying more in interest b) Decreasing your credit score c) Not having late fees d) Increasing your credit score

c) Not having late fees

Which of the following statements is TRUE? a) Recurring expenses don't need to be planned for because they rarely happen. b) Recurring expenses are expenses that can never be stopped. c) Recurring expenses should be planned for BEFORE looking at your wants. d) None of the above

c) Recurring expenses should be planned for BEFORE looking at your wants.

Which of the following statements about check cashing companies is TRUE? a) They have limited operating hours during the day. b) They sometimes offer free services. c) They charge high fees. d) They delay when you can access your cash

c) They charge high fees

What will happen to your credit score if you do not manage your debt wisely? a) You won't be able to track your credit score b) Your credit score will go up c) Your credit score will go down d) It will not affect your credit score

c) Your credit score will go down

Andrew doesn't want to spend a lot of money on student loans and does not qualify for grants. What is his best option for affording a Bachelor's Degree? a. He can enroll in a trade school and transfer his courses later. b. He can attend a specialized training program and transfer a couple of his courses. c. He can attend the local community college whose courses transfer to the public four-year college. d. None of these are correct

c. He can attend the local community college whose courses transfer to the public four-year college.

Earning a degree can be expensive but which example shows why it might be worth it over your lifetime? a. Federal student loans are offered at low interest rates which makes it more affordable. b. Expensive degrees guarantee a low paying job afterwards. c. Individuals with a bachelor's degree typically earn a higher annual salary than those without one. d. A high school diploma allows you earn money instead of going into debt

c. Individuals with a bachelor's degree typically earn a higher annual salary than those without one.

Which example shows an advantage of owning a car over leasing one? a. Smaller monthly payments and good warranty to cover repairs. b. Expiring warranty means that you will get to handle repair payments. c. No restrictions on the number of miles to drive and the ability to customize, or make changes to the car. d. You will drive a fairly new car for a limited period of time.

c. No restrictions on the number of miles to drive and the ability to customize, or make changes to the car.

What is one of the best ways to get reliable information about a product? a. Follow a social media influencer b. Look for the advertisements c. Search online reviews d. Ask someone who has never used it

c. Search online reviews

The price of a single item within a group of items is known as what? a. group price b. item price c. unit price d. total price

c. unit price

Which of the following is a benefit of using a budget? a) Helps to keep track of the money you receive b) Helps to prioritize your spending c) Helps reach short- and long-term financial goals d) All of the above

d) All of the above

Which of the following is a possible tax or deduction that may show up on your paycheck? a) Federal income tax b) Contributions to retirement savings c) FICA d) All of the above

d) All of the above

Which of the following is true about taxes? a) Taxes pay for schools and government departments. b) Taxes pay for roads and emergency services. c) Taxes are often used at the federal, state, and local levels. d) All of the above

d) All of the above

Which of the following should you consider when setting a budget? a) Your financial goals b) Needs and wants c) Savings d) All of the above

d) All of the above

Which item is important to consider when selecting a credit card? a) Annual Percentage Rate (APR) b) Fees c) The look of the credit card d) Both APR and fees

d) Both APR and fees

The W-2 form is a form that tells you what? a) how often you will be paid. b) how much taxes you owe to the federal government. c) how much taxes to withhold from your paycheck. d) how much taxes you've paid in the last year based on how much you've earned

d) how much taxes you've paid in the last year based on how much you've earned

Which of the following is a tax-free savings account that can only be used for educational expenses? a. Federal grants b. Merit-based scholarships c. Merit-based scholarships d. A 529 plan

d. A 529 plan

Why is it important to have insurance? a. It's important to have insurance so people can protect themselves from losing a lot of money in the event of an unpredictable event or something happens to them or their property. b. So individuals can defend against the possibility of financial loss due to unpredictable event c. So people can engage in risky behavior without financial consequences d. A and B

d. A and B

Making a good purchase requires what? a. comparing the prices of similar items b. reading reviews of the product c. waiting until the product is on sale, if possible d. All of the above

d. All of the above

Which is true about the Free Application for Federal Student Aid (FAFSA)? a. The earliest you can submit your FAFSA is October 1st of each year. b. The form is available online or on paper. c. States may have different deadlines for applying for state aid. d. All of the above

d. All of the above

Something people buy to protect themselves from losing a lot of money in the event something happens to them or their property is known as... a. risk management. b. liability. c. warranty. d. Insurance.

d. Insurance.