Unit 1 Post Test: Wages, Income Tax, and Money Management (Q: 1-22)
Larry received the bank statement below. Larry's checkbook has a balance of $922.63. What is most likely the reason that Larry's balance is different from the bank's balance?
Check 318 was not cashed or deposited.
Faith started last week with $1,100 in her checking account. During the week, she wrote the checks below. On the 15th, Faith received a paycheck for $583.67. She recorded all of these transactions in her check register. Evaluate Faith's check register.
Faith did a good job; everything is correct.
Which of these people has balanced their checkbook correctly?
Gary: The balance in his check register is $500 and the balance in his bank statement is $500.
Last month, when Jerry received his bank statement, he found that the balance in the statement did not match the balance in the register. Examine Jerry's check register and bank statement and evaluate his problem.
He had bank fees that were not in his check register.
Lewis has a net spendable income of $2,000 per month. He sets up the following transportation budget for himself. What has Lewis done wrong?
He has not budgeted for all of the expenses in the subcategories.
How does a monthly budget worksheet help you?
It helps you figure out how much you can spend and invest.
Which of these people will be eligible for a tax deduction?
Miles, who makes cash contributions to charities
Which statement describes the term salary?
Salary refers to the fixed amount paid on a weekly, bi-weekly, or monthly basis.
Brenda earns $1,700 per month after taxes. She is working on her budget and has the first three categories finished. Housing $612 Food $238 Transportation $370 What is the problem with this budget?
She is budgeting more than the highest recommended for transportation.
Angela's car payment is due January 31. This bill is always paid automatically from her checking account. It is January 30 and Angela realizes that she does not have enough money in her checking account to cover the payment. What is Angela's best option for handling the payment?
Transfer money online from her savings account to her checking account.
Ethan's taxable income is $87,525. Use this tax schedule to calculate the total amount he owes in taxes.
$18,617.75
Janice has car insurance that she must pay four times a year. If each payment is $156, how much money should she set aside each month to cover her car insurance?
$52
Janet's gross pay is $750, from which $31 is deducted for OASDI, $10 for Medicare, and $14 for income tax. What is her net pay?
$695
What is the maximum percentage of net spendable income that should be set aside for housing?
36%
A company made a profit of $75,000 over a period of 6 years on an initial investment of $15,000. What is its annualized ROI?
83.33%
What is a 401(k) plan?
a retirement plan offered by employers
How does an investor get ownership interest in a company?
by purchasing shares in the company
Which level of government relies the most on income tax?
federal
Which is the correct way to write $450.05 in words on a check?
four hundred fifty and 05/100
Ted used a $150 check to pay for some books. Where in his checkbook register should he write this amount?
in the PAYMENT or WITHDRAWAL AMOUNT column
Which form of investment has the most amount of risk involved?
mutual fund
Which is a measure of the efficiency of an investment?
return on investment
