Everfi Practice

Question 1

Interest is…

Answer 1

the amount owed for borrowing money

Question 2

Sarah just opened a savings account and wants to maximize the amount of interest he earns. Which of the following actions would enable her to earn MORE interest?

Answer 2

Selecting an account with a high interest rate and leaving her money in the account for a long period of time.

Question 3

You are opening a savings account that earns compound interest. Which compounding frequency will earn the MOST money?

Answer 3

compounding daily

Question 4

which type of account is the most liquid?

Answer 4

checking account

Question 5

which part of the check is the least important

Answer 5

memo line

Question 6

which is the purpose of balancing your checking account?

Answer 6

To help you calculate how much money you have in your account

Question 7

which payment type can help you stick to a budget?

Answer 7

debit cards

Question 8

making a minimum payment:

Answer 8

means you are paying a small portion of your total credit card debt

Question 9

what is a credit card balance?

Answer 9

the amount of money you still owe to your credit card company

Question 10

Which of the following are true about credit scores?

Answer 10

all of these

Question 11

all of the following make up the big 3 credit reposting agencies EXEPT:

Answer 11

Federal Reserve

Question 12

which of the following can negatively impact on your credit score?

Answer 12

you pay your credit card bill every other month.

Question 13

which of the following loans will typically have the lower interest rate?

Answer 13

federal student loan

Question 14

the period after graduating college or school before you must begin paying back student loans in known as the:

Answer 14

grace period

Question 15

use the table above to answer the following question: Ashley earns $250 per month. which statement below is the most correct?

Answer 15

ashley spends more than she makes

Question 16

the return on investment (ROI) from education is typically higher for:

Answer 16

someone with a 4 year degree

Question 17

a _______ is generally considered an appreciating asset because it will ______ in value over time

Answer 17

house; increase

Question 18

on a check the first set of numbers in the bottom left is:

Answer 18

bank routing number

Question 19

the set of numbers (101) on the top right of the check represents the:

Answer 19

check number

Question 20

which type of bank account typically offers no interest?

Answer 20

checking

Question 21

which of the following typically have the highest fees?

Answer 21

payday lender

Question 22

which of the following are known as “free money”?

Answer 22

both grants and scholarships

Question 23

which of the following statements is most correct?

Answer 23

a benefit of owning a home is that the value may appreciate

Question 24

which of the following would a mortgage loan be used for?

Answer 24

to purchase a 4 bedroom home

Question 25

insurance can help you

Answer 25

protect against unexpected accidents

Question 26

which form is your employer required to send to you before you file your tax return?

Answer 26

W-2

Question 27

Isaiah needs to visit the doctor. the cost of the appointment without insurance is $200. Isaiah has an insurance plan through his employer with a $50 monthly premium and $20 copay. how much will Isaiah have to pay his doctor?

Answer 27

$20

Question 28

By what date must federal taxes typically be filed and sent to the IRS?

Answer 28

4/15/2016

Question 29

Identity thieves can use your personal information to:

Answer 29

All of these

Question 30

which piece of information is most useful to an identity thief?

Answer 30

your full name and social security number

Question 31

how often are you entitled to a free credit report from each of the major credit reporting companies?

Answer 31

yearly

Question 32

when buying a stock in a company, you are:

Answer 32

buying a portion of a company

Question 33

when you purchase a municipal bond, you are:

Answer 33

loaning money to the municipality

Question 34

The return of investment ( ROI)from education is typically the highest four:

Answer 34

Someone with a four-year bachelor degree

Question 35

Your sister is starting ninth-grade next year and is thinking about going to college. What steps would you first recommend she takes?

Answer 35

Looking for school clubs and organizations she’s interested in

Question 36

Which of the following loans will typically offer the lowest interest rate?

Answer 36

Federal student loans

Question 37

When referring to student loans, what is a grace period?

Answer 37

You. After graduating or leaving school before you must begin paying back student loans

Question 38

Which loan type requires you to make loan payments while you’re attending school?

Answer 38

Neither a nor B

Question 39

Which of the following statements about federal state loans is true

Answer 39

The interest rate on your loan will be fixed overtime

Question 40

Using the FASFA form you can apply for:

Answer 40

Federal student loans; the federal work study program

Question 41

The federal application for student aid form:

Answer 41

Can be submitted online or by mail

Question 42

After you send in your FASFA form what will you recieve back?

Answer 42

Your student aid teport

Question 43

You were looking for ways to pay for your higher education cost, which of the following options will require you to pay back any money receive?

Answer 43

Federal student loans