7.5.2Test (CST): Playing the Game Yourself: Personal Finance

Why might a letter-writing campaign get a company to change its business practices?

. The company might fear that the letter-writing campaign will become a boycott if it doesn't respond

Which of these fees is the biggest problem for customers who need to use their credit card to take money from an ATM?

. Cash advance fee

What is a bank customer's share of the profits made on loans?

. Savings account interest

What are you paying for when you lease a car?

. The decrease in the car's value

How can consumers get the government to pass laws preventing companies from engaging in offensive behaviors?

By lobbying

Why do economic decisions vary from person to person even under the same circumstances?

Costs and benefits are subjective.

Which of these most accurately describes the costs and benefits of using a credit card?

Credit cards are convenient but can result in debt

What is the annual percentage rate (APR) on a credit card?

The amount of interest charged on unpaid balances

Why might a company respond to a letter-writing campaign launched by a group of concerned consumers?

The letters contain a veiled threat that economic pressure could follow.

What do leases contain?

The obligations of renters and landlords

What does an amortization table show?

The principle and interest being paid on a loan

Which of these states one of the opportunity costs of attending college?

Time spent on schoolwork takes away from the chance to earn money at a job.

Which of these describes a situation in which people have to pay a deductible?

When their insurance policy only covers part of a medical expense

When is liability insurance needed?

When you cause an accident that damages another vehicle or hurts someone

What makes a checking account more convenient than a savings account?

You can spend your money without having to withdraw cash first.

What makes a credit card more convenient than a debit card?

It can be used to buy things without immediate payment.

What is one of the primary concerns of socially responsible consumers?

Sustainability

Why do consumers have influence over politicians?

Politicians rely on the votes of consumers to keep them in office.

What kind of a credit card can customers with a bad credit history get?

One that's secured by collateral