Question 1

A primary determinant of your quality of life is

Accepted Answer

A)  a tax bill. 
B)  tangible property. 
C)  wealth. 
D)  motivation. 
E)  income potential. 
A)  a tax bill. 
B)  tangible property. 
C)  wealth. 
D)  motivation. 
E)  income potential.

Question 2

The longer you wait to begin retirement planning,the less you will likely have in your retirement fund.

Accepted Answer

A) True 
 B)False

Question 3

Money is

Accepted Answer

A)  the reason for all transactions. 
B)  a medium of exchange. 
C)  the purpose of our economy. 
D)  a medium of consumption. 
E)  a measure of propensity to consume. 
A)  the reason for all transactions. 
B)  a medium of exchange. 
C)  the purpose of our economy. 
D)  a medium of consumption. 
E)  a measure of propensity to consume.

Question 4

____ is the financial goal most people think is least important.

Accepted Answer

A)  Living well now 
B)  Being financially independent 
C)  Sending children to college 
D)  Providing for retirement 
E)  Leaving a large estate 
A)  Living well now 
B)  Being financially independent 
C)  Sending children to college 
D)  Providing for retirement 
E)  Leaving a large estate

Question 5

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-The Consumer Price Index is a measure of [unemployment | inflation].

Accepted Answer

The answer of Choose the word or phrase in [...

Question 6

Consumer choices ultimately determine the kinds of goods and services businesses will provide.

Accepted Answer

A) True 
 B)False

Question 7

An economy will usually go into a _________ after a peak.

Accepted Answer

A)  Convolution 
B)  Expansion 
C)  Contraction 
D)  Recession 
E)  Depression 
A)  Convolution 
B)  Expansion 
C)  Contraction 
D)  Recession 
E)  Depression

Question 8

Inflation means price levels have declined.

Accepted Answer

A) True 
 B)False

Question 9

Employee benefits may include

Accepted Answer

A)  health insurance 
B)  disability insurance 
C)  life insurance 
D)  only a and b above 
E)  all of the above 
A)  health insurance 
B)  disability insurance 
C)  life insurance 
D)  only a and b above 
E)  all of the above

Question 10

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-The government employs monetary and fiscal policy to help foster a [fast growing economy | no growth economy].

Accepted Answer

The answer of Choose the word or phrase in [...

Question 11

A personal computer could not be used to

Accepted Answer

A)  prepare detailed budgets. 
B)  analyze investment possibilities. 
C)  store and retrieve financial information efficiently. 
D)  make financial decisions. 
E)  keep insurance coverage inventories. 
A)  prepare detailed budgets. 
B)  analyze investment possibilities. 
C)  store and retrieve financial information efficiently. 
D)  make financial decisions. 
E)  keep insurance coverage inventories.

Question 12

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-The average [self employed | retired] household has higher levels of assets.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 13

The average propensity to consume refers to the

Accepted Answer

A)  dollars of income spent for current consumption. 
B)  percentage of income saved. 
C)  expenditures for the minimum necessities of life. 
D)  percentage of income spent for current consumption. 
E)  fact that people with higher incomes spend more for the necessities of life. 
A)  dollars of income spent for current consumption. 
B)  percentage of income saved. 
C)  expenditures for the minimum necessities of life. 
D)  percentage of income spent for current consumption. 
E)  fact that people with higher incomes spend more for the necessities of life.

Question 14

The Consumer Price Index (CPI)is the amount of goods and services each dollar buys at a given point in time.

Accepted Answer

A) True 
 B)False

Question 15

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-"1 want to accumulate a comfortable retirement fund" [would | would not] be a specific financial goal.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 16

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-Financial planning [does | does not] guarantee a sound financial future.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 17

Wealth can be defined as the total value of all the things you own.

Accepted Answer

A) True 
 B)False

Question 18

A person making $35,000 and spending $30,800 has an average propensity to consume of 80%.

Accepted Answer

A) True 
 B)False

Question 19

Financial planning is a continuing,life-long process.

Accepted Answer

A) True 
 B)False

Question 20

Businesses provide

Accepted Answer

A)  stores. 
B)  money payments. 
C)  land and capital. 
D)  labor. 
E)  goods and services. 
A)  stores. 
B)  money payments. 
C)  land and capital. 
D)  labor. 
E)  goods and services.

A primary determinant of your quality of life is

The longer you wait to begin retirement planning,the less you will likely have in your retirement fund.

Money is

____ is the financial goal most people think is least important.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -The Consumer Price Index is a measure of [unemployment | inflation].

Consumer choices ultimately determine the kinds of goods and services businesses will provide.

An economy will usually go into a _________ after a peak.

Inflation means price levels have declined.

Employee benefits may include

A personal computer could not be used to

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -The average [self employed | retired] household has higher levels of assets.

The average propensity to consume refers to the

The Consumer Price Index (CPI)is the amount of goods and services each dollar buys at a given point in time.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -"1 want to accumulate a comfortable retirement fund" [would | would not] be a specific financial goal.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -Financial planning [does | does not] guarantee a sound financial future.

Wealth can be defined as the total value of all the things you own.

A person making $35,000 and spending $30,800 has an average propensity to consume of 80%.

Financial planning is a continuing,life-long process.

Businesses provide

Using Financial Statements and Budgets

Preparing Your Taxes

Managing Your Cash and Savings

Making Automobile and Housing Decisions

Using Credit

Using Consumer Loans

Insuring Your Life

Insuring Your Health

Protecting Your Property

Investment Planning

Investing in Stocks and Bonds

Investing in Mutual Funds

Planning for Retirement

Preserving Your Estate

Filters

Exam 1: Understanding the Financial Planning Process

A primary determinant of your quality of life is

The longer you wait to begin retirement planning,the less you will likely have in your retirement fund.

Money is

____ is the financial goal most people think is least important.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -The Consumer Price Index is a measure of [unemployment | inflation].

Consumer choices ultimately determine the kinds of goods and services businesses will provide.

An economy will usually go into a _________ after a peak.

Inflation means price levels have declined.

Employee benefits may include

A personal computer could not be used to

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -The average [self employed | retired] household has higher levels of assets.

The average propensity to consume refers to the

The Consumer Price Index (CPI)is the amount of goods and services each dollar buys at a given point in time.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -"1 want to accumulate a comfortable retirement fund" [would | would not] be a specific financial goal.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -Financial planning [does | does not] guarantee a sound financial future.

Wealth can be defined as the total value of all the things you own.

A person making $35,000 and spending $30,800 has an average propensity to consume of 80%.

Financial planning is a continuing,life-long process.

Businesses provide

Using Financial Statements and Budgets

Preparing Your Taxes

Managing Your Cash and Savings

Making Automobile and Housing Decisions

Using Credit

Using Consumer Loans

Insuring Your Life

Insuring Your Health

Protecting Your Property

Investment Planning

Investing in Stocks and Bonds

Investing in Mutual Funds

Planning for Retirement

Preserving Your Estate

Filters