Quizzes

Question 1

Select all of the following that are benefits of home ownership.

A. Occupant has minimal home maintenance worries.
B. The owner keeps any price appreciation.
C. Minimal initial savings are needed to move in.

Answer 1

B

Question 2

A debt instrument secured by the collateral of the specified real estate property, verifying that the borrower is obliged to pay back a specific amount with a predetermined set of payments is called a…

Answer 2

mortgage

Question 3

If you bought a $250,000 home, have $150,000 left to pay on it, and it’s appraised for $300,000, then what is your equity?

Answer 3

150,000

Question 4

______________________ is when you replace your existing mortgage by obtaining a new mortgage and repaying the old one.

Answer 4

refinancing your mortgage

Question 5

A vehicle history report is wise to obtain when buying a used car. This report gives details about what? (Select all that apply.)

A. the car’s accident history
B. the police report on any reportable incident pertaining to the car
C. the name and address of the previous owner
D. the car’s ownership history

Answer 5

A and D

Question 6

(T or F) Leasing is renting the use of a vehicle for a fixed period for an agreed-upon amount of money.

Answer 6

True

Question 7

Select all of the following that are important to know when you are considering buying a car.

A. Potential trade-in value of your current vehicle
B. Quotes on prices of insurance and insurance requirements for the vehicles you’re considering
C. Market values and operating costs on various models and age of the kind of vehicle that meets your needs
D. Cost to manufacture the make & model of the car
E. Credit score of the previous owner

Answer 7

A, B, C

Question 8

financial commitments that will be difficult or expensive to change but must be included in your budget

Answer 8

fixed cost

Question 9

Financial commitments that generally change each period

Answer 9

variable costs

Question 10

Any spending that is optional or avoidable

Answer 10

discretionary costs

Question 11

costs that are unavoidable to incur

Answer 11

mandatory costs

Question 12

Which of the following is a good way to handle a “money squeeze”?

A. Be sure to use coupons when doing your weekly shopping for your growing wardrobe
B. Sell unneeded assets
C. Maintain current spending levels (but no more!)
D. Increase contributions to your 401(k) account

Answer 12

B

Question 13

Spending when I dont have a plan

Answer 13

impulse spending

Question 14

Spending on something just because that is what I have always done

Answer 14

habit spending

Question 15

Spending because I am not able to not spend

Answer 15

addictive spending

Question 16

Which of the following represents the progression of a stepwise spending reduction when it comes to eating out?

A. Step down from restaurant to home-cooked meals to fast food
B. Step down from fast food to sit down restaurants to grilling at home
C. Step down from restaurant to fast food to prepared food to making meals from scratch

Answer 16

C

Question 17

(T or F) A decision map is key to small decisions like where to fill up with gas or which burger to purchase at a restaurant.

Answer 17

False

Question 18

There are very few modern software or mobile apps to help with personal budgeting.

Answer 18

false

Question 19

Because as Christians we are generous people, we should not include a category for “gifts” in our budget since that would tend to limit our generosity.

Answer 19

false

Question 20

Which are common additional costs of owning an automobile?

A. maintenance, such as oil changes & tire rotations
B. auto insurance
C. fuel / gas
D. All of the above

Answer 20

D

Question 21

When buying a home, a closing statement is the same as…

Answer 21

HUD-1

Question 22

(short term or long term) savings account at a branch of a local federal credit union

Answer 22

short term

Question 23

The expectation that if you put your money into savings/investments, that money will grow over time even if you don’t add anything to it

Answer 23

ROI

Question 24

3 factors influencing the future value of your investments

Answer 24

principal, length of time, interest rates

Question 25

name at least one way to mitigate the risk due to market volatility

Answer 25

diversity portfolio