Exam 7: The Foundation of Savings

Tamika made an early withdrawal of $6,900 from her Roth IRA established 3 years ago ($6,000 in principal and $900 in earnings). How much federal income tax would she owe on the early withdrawal if her tax bracket is 22%?

Which of the following refers to the money you put aside for short-term goals?

Which of the following refers to an unsolicited e-mail asking you to provide personal information or confirm the details of a credit account?

Emil has an investment that earns 14% return on investment. If inflation is 3%, what is Emil's real rate of return?

Which type of risk refers to the chance that general interest rates will increase?

Which of the following occurs when a product or service is misrepresented in an unsolicited phone call, e-mail, or text message?

Which of the following means that a person is no longer considered a minor?

Which of the following promises investors and savers a low-risk, high rate of return, interest, and/or dividends?

Which of the following protects savings accounts against theft and loss?

If the population of North America is 365,800,000 people, how many cycles would it take for a pyramid scheme to fail, if the fraud started with 8 people and each new person adds 8 more recruits?

Which of the following refers to the ranking of risk per actual statistics?

Sofia has an opportunity to invest $18,000 she inherited from her great aunt. She wants to know how long it would take to double her money. The best investment rate she has found offers an 8% interest rate. Using the Rule of 72, calculate how long it would take the $18,000 to double at a rate of 8% in interest?

How many households have had at least one person, age 12 or older, experience identity theft?

What is the least amount required to purchase a U.S. savings bond?

Which type of risk refers to when prices increase?

Which of the following refers to the loss of a benefit that you would have received by choosing another option?

What are the tax implications of interest earned on U.S. savings bonds?

What percent of Americans have been the victim of a financial crime?

Who is more likely to be exploited financially?

Which of the following can be held in a Uniform Gifts to Minors Act (UGMA) account?