Test 1 Part 2

Question 1

If a $100 item was discounted 20% then what would be the new price?

Answer 1

None of the Above.

Question 2

How much is 7% of $100?

Answer 2

$7

Question 3

Which of the following is the best example of a wholesale price?

Answer 3

The price Sony charges Walmart for a television.

Question 4

Which of the following statements makes the most sense concerning investing your money?

Answer 4

Putting your money in real estate and the stock market are two very popular investment methods.

Question 5

Which of the following auto loans for $10,000 would be the best loan for most people?

Answer 5

A 4 year loan at 4% APR with a monthly payment of $225.79

Question 6

What date of the year do taxes need to be filed by most individuals?

Answer 6

April 15

Question 7

If a television costs $700 in Indiana, what is the total cost of the TV once you add the sales tax to the total?

Answer 7

$749

Question 8

What is a capital gains tax?

Answer 8

A tax on the profit from property or investments.

Question 9

Which of the following is true about the IRS?

Answer 9

This agency deals primarily with collecting taxes.

Question 10

What is the total cost of gasoline if you drive 900 miles in a month with a car that averages 20 miles per gallon at a cost of $3.50 per gallon?

Answer 10

None of the Above

Question 11

Let’s say you have a $500 auto deductible and then have a $2100 accident. How much will the insurance company pay for the accident?

Answer 11

$1600

Question 12

In “The Millionaire Next Door”, a strong offense and strong defense refers to which of the following?

Answer 12

Your income level and your ability to spend wisely.

Question 13

Which of the following is NOT true about the findings in “The Millionaire Next Door”?

Answer 13

Most millionaires inherited most of their money.

Question 14

What is the best example of volatility?

Answer 14

Seeing stock prices change a lot from day to day.

Question 15

If someone owes $10,000 in credit card debt but only charged $8,000 on their card, then the $8,000 is known as which of the following?

Answer 15

The principal amount.

Question 16

Which is true about 90 days same as cash?

Answer 16

Answers A and D

Question 17

What is the best example of collateral?

Answer 17

The car you purchased with an auto loan.

Question 18

What factors help determine a stock price?

Answer 18

Answers A, B, D

Question 19

What is the price of one share of Google Stock?

Answer 19

Between $900 and $1200

Question 20

Which concept best applies to the CPI Index?

Answer 20

Answers B and E.

Question 21

A payment you receive for stock that you own is called a:

Answer 21

Dividend

Question 22

Dave Ramsey would say which of the following?

Answer 22

None of the above.

Question 23

Which of the following is true about the stock market?

Answer 23

Over the period of many years, stocks will usually average over a 8% interest rate.

Question 24

The best thing about compound interest is:

Answer 24

Answers A and C.

Question 25

Dave Ramsey strongly urges the following:

Answer 25

Diversify your investments.

Question 26

What types of things would create conditions for a recession?

Answer 26

A long term Bear Market

Question 27

If your house is worth $150,000 and you owe $100,000 on your mortgage, then how much equity do you have in your house?

Answer 27

$50,000

Question 28

If you put $1,000 in the bank and you earn 10% interest for two years, then how money would you have in the bank after two years?

Answer 28

$1210

Question 29

When the stock market loses value over time then this is an example of what kind of market?

Answer 29

Bear Market

Question 30

When a home increases in value over time then this is know as which term?

Answer 30

Appreciation