Personal Finance Final

Sally has a major problem with a product and thinks that many others have had the same problem. Which of the following is the best way to resolve the problem?

Class action lawsuit

Which of the following is NOT a strategy for wise buying?

Buying items on impulse

These products are highly advertised and available at many stores.

National brands

You want to purchase a life insurance policy that pays a policy dividend. What kind of policy would you want to purchase?

Participating policy

During the closing for a home purchase , you should?

Pay all closing costs, settle last-minute details, and sign documents

A stock that typically sells for less than $5 per share (or in some cases, less than $1 per share) is called a(n) ________ stock.

Penny

Which of the following steps should be completed before making your first investment?

Work to balance your budget

This type of promotion immediately reduces the amount a family spends on groceries each week

Coupons

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

Deed

The appearance of a used car can be deceptive. When purchasing a used vehicle, it is a good idea to?

Have a trained and trusted mechanic of your choice check out the vehicle

While Paul was shopping for a new chainsaw, he found a great deal on a new drill and bought it. This is an example of?

Impulse Shopping

If you do not pay back any of the loan amount for a portion of the loan period, you have a(n)?

Interest-only mortgage

This provides the tenant protection from rent increases.

Lease

Karen bought a mixer. She received a warranty that covers only certain aspects of the product. If the product fails, she may be required to pay part of the costs for shipping or repairs. Which of the following warranties does she have?

Limited warranty

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

Maintenance and costs of repairs and home improvements

All of the following are variable operating costs for a vehicle except?

Maintenance and repairs

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

Manufactured home

Which of the following is an advantage of a car lease?

Monthly lease payments are usually lower than monthly financing payments

What should a home buyer consider when evaluating a house?

A.School system. B.Zoning laws. C.Location of businesses and future construction projects. D.All of these should be evaluated. E.Property values of the community.

Donald wanted to buy a house in the country, so he sought advice from his cousin Evan. Evan explained the advantages and disadvantages of home ownership; however, he had some information incorrect. Which of the following is incorrect?

An advantage is that the down payment required is less than the security deposit for a rental.

Which of the following is a disadvantage of a car lease?

At the end of the lease, you have no ownership interest in the vehicle

Properly maintaining and operating the product is part of the ________ phase of the research-based buying process.

Post-purchase activities

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

Private-label or store brands

The expected value of a vehicle at the end of a lease is called the?

Residual value

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 NOT a type of permanent insurance?

Term Life

The primary benefit of a home equity loan is?

The deductibility of the loan interest on federal taxes