Everfi Modules Test
Which of the following is NOT a feature that makes a secured loan less costly than an unsecured loan?
A high interest rate
Using a loan could help with the purchase of which of the following?
A house
A stock is ________.
A share of ownership in a company.
When setting a budget, you can choose to make room for:
financial goods, entertainment expenses, charitable donations
Free answer?
free answer
Federally-funded grants require the student to...
have financial need only.
Which of the following is NOT a common feature of a financial institution?
Access to investment advice
For most careers, which degree will most likely result in the highest lifetime earnings?
Bachelor's Degree
What is a risk management strategy you could use to protect your home?
Buying a home security system and Installing front porch cameras to monitor your home
Which of the following financial institutions typically have the highest fees?
Check cashing and payday loan companies
What should you do before you approach an ATM?
Check for any suspicious people lurking nearby.
Savings accounts typically offer more interest than what type of account?
Checking account
Which method of payment actually is a form of borrowing money that needs to be paid back later?
Credit Card
Which payment option could have interest charged to you?
Credit Card
All of the following may be a part of your benefits package available from your employer, except:
FICA
The gig economy offers ________.
Flexible, short-term, and independent jobs.
Which of these items is NOT important to consider when selecting a credit card?
The look of the credit card
Dimitri's counselor told him that post secondary education can be expensive but can pay off in the long run, what does that mean?
The salary you will earn with a degree will pay back the cost of college over your career.
What is the best reason for why someone would want to lease a house instead of buy one?
They are planning on living there for a short period of time.
What is NOT true about unexpected expenses?
They do not occur if you have a budget
What is the purpose of the W-4 form?
To inform your employer of how much federal income tax to withhold from your paychecks.
Your employer sends you a _______ form that tells you how much you've made and how much you've paid in taxes in the last year.
W-2
What is a benefit of having a good credit score?
When you need a loan, you'll have more loan offers to pick from.
Earning a degree can be expensive but which example shows why it might be worth it?
You are more likely to earn more money over your lifetime than if you did not have a degree.
What do you need in order to fill out your 1040?
Your W-2 Your routing and bank account number A record of any other supplemental income
If there is a mistake with one of your bank accounts, who should you contact to resolve the issue?
Your financial institution
Cutting down on costs by earning an Associate's degree first and then transferring to a four-year college or university can be done by going to what type of higher education institution?
a local community college.
Where should you look to find your current expenses when building your budget?
bank and credit statements
Which of the following is a benefit of using a budget?
helps to keep track of the money you receive, helps to prioritize, help reach short and long term financial goals
Which of the following answers lists 4 year colleges from generally the least expensive to most expensive?
in state public, out of state public, private
Which of the following is NOT a good way to track your spending?
in your head
Collision insurance is...
insurance that will pay to get your car fixed in the event of an accident.
A 529 plan can help you save more money than a traditional savings account because...
it is a tax free.
Investing is best for ________.
long-term financial goals, like paying for retirement.
To maintain a good credit score you must ______.
manage your debt wisely.
What should be considered when setting a budget?
needs, wants, and savings
Paying only the minimum balance on your credit card can lead to...
paying more interest.
Wearing a seat belt, not texting when driving, and driving carefully are all examples of...
risk management strategies.
Living at home while enrolled in post secondary school or training can save money on....
room and board but it raises costs for transportation.
An insurance deductible is...
the amount you owe before insurance will cover the rest of the bill.
An insurance premium is paid by...
the policyholder.
Which of the following is NOT true about emergency funds?
they are used for anything listed on the budget.
An unanticipated expense that will make it difficult to get by day-to-day would be a candidate for...
emergency fund spending
The price of a single item within a group of items is known as the ______________ of the item.
unit price
Leasing a car may be a better option than buying a car if...
you don't plan on having it for long and don't want to worry about regular maintenance.
Why is it important to have insurance?
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 and so individuals can defend against the possibility of financial loss due to unpredictable event
Which savings account will earn you the most money?
One that compounds interest daily.
How is an advertisement different from a comment from a regular consumer?
The advertisement is likely one-sided.
What is net pay?
The amount of money you're paid after all taxes and deductions are taken out of your paycheck.
Which of the following is NOT a possible tax or deduction that could come out of your paycheck?
Overtime pay
Which of the following will help you protect yourself from identity theft and fraud?
Regularly monitor your credit report, Contact lenders and credit bureaus to address incorrect information, Freeze your credit.
Which of the following statements about savings accounts is FALSE?
Savings accounts don't usually pay interest on the money you deposit.
What is one of the best ways to get reliable information about a product?
Search online reviews
Which of the following statements is true about taxes?
Taxes pay for schools and government departments Taxes pay for roads and emergency services. Taxes are often used at the federal, state, and local levels.
When looking for pre-approval on a car loan you should...
compare pre-approval offers and select the one that is best for you
How can insurance protect you from financial loss?
Insurance can cover you or your property in case of an accident, theft, or another unpredictable event.
Which of the following is NOT a reason to complete the Free Application for Federal Student Aid (FAFSA)?
It allows you to be eligible for early admission.
How can you avoid spending more than what is in your bank account?
Keep your own records to compare with your financial institution's records.
What option will NOT be available if you are behind on loan payments?
You can ask to get out of your loan.
What is a consequence of not having health insurance?
You must pay all costs for health care and medical emergencies.
When is it ok not to have health insurance?
You should always have health insurance.
Which is NOT a positive reason for using a credit card to finance purchases?
You will get charged high interest.
When making a large purchase, you should avoid everything EXCEPT _______________________
a price that fits comfortably in your budget.
Which of these additional costs will most likely be the most expensive?
academic counseling
When you are deciding what to buy, you should not...
assume that buying the cheapest item is the smartest choice
Making a good purchasing decision requires __________.
comparing the prices of similar items and reading reviews of the product
What does liability insurance not cover in the event of an accident?
damage to someone else's car
True or False: How much you're being paid is the only thing you need to consider when considering a job offer.
false
What budgeting tip(s) would help you to stay on track financially?
find a friend with similar goals and holds each other accountable
Which of the following statements is TRUE?
none of the above