Question 1

The key to building wealth is to remain consistent.

Accepted Answer

A) True 
 B)False  True

Question 2

Which of the following is required for responsible use of a credit card?

Accepted Answer

A) selfishness 
B) self-discipline 
C) self-interest 
D) self-responsibility 
A) selfishness 
B) self-discipline 
C) self-interest 
D) self-responsibility B

Question 3

A tax free savings account contribution is tax deductible.

Accepted Answer

A) True 
 B)False  False

Question 4

As a college graduate,Allen can expect which of the following?

Accepted Answer

A) to earn more during his lifetime than his friend who only earned a high school diploma 
B) to always have a professional job 
C) to accumulate a lot of wealth and be respected 
D) to have an easy path to financial independence 
A) to earn more during his lifetime than his friend who only earned a high school diploma 
B) to always have a professional job 
C) to accumulate a lot of wealth and be respected 
D) to have an easy path to financial independence

Question 5

What is the key to building wealth?

Accepted Answer

A) high risk investing 
B) consistency 
C) creating a hedge fund 
D) investing in baseball cards 
A) high risk investing 
B) consistency 
C) creating a hedge fund 
D) investing in baseball cards

Question 6

What is the term for brokers who provide a wide range of services including research,financial planning,and tax advice?

Accepted Answer

A) discount brokers 
B) full-service brokers 
C) investment bankers 
D) traders 
A) discount brokers 
B) full-service brokers 
C) investment bankers 
D) traders

Question 7

Discuss the traditional ways to wealth accumulation.

Accepted Answer

Investments involve reducing consumption

Question 8

Which of the following is an example of an individual retirement plan?

Accepted Answer

A) RESP 
B) RRSP 
C) traditional IRA 
D) a vesting plan 
A) RESP 
B) RRSP 
C) traditional IRA 
D) a vesting plan

Question 9

How can you apply the principles of budgeting to your own finances?

Accepted Answer

A budget is a detailed schedule that doc

Question 10

Studies show that Bachelor degree holders earn an average of 88% more over their lifetime than high school graduates.

Accepted Answer

A) True 
 B)False

Question 11

Preparing your budget doesn't do you much good unless you track your actual spending to what you budgeted for various items.

Accepted Answer

A) True 
 B)False

Question 12

What is a benefit of utilizing commercial personal finance software packages such as Quicken®?

Accepted Answer

A) they automatically complete and file your annual tax return 
B) they alert you when interest rates on your credit cards increases 
C) they automatically generate reports on income and expenses 
D) they develop expense and income timelines 
A) they automatically complete and file your annual tax return 
B) they alert you when interest rates on your credit cards increases 
C) they automatically generate reports on income and expenses 
D) they develop expense and income timelines

Question 13

Studies have shown that individuals with a university education earn an average salary when they reach the age of 40 that is how much higher than they would have received with only a high school education?

Accepted Answer

A) 31% 
B) 51% 
C) 86% 
D) 91% 
A) 31% 
B) 51% 
C) 86% 
D) 91%

Question 14

Evaluate strategies to help build a sufficient savings and emergency fund.

Accepted Answer

A savings account is an interest earning

Question 15

The difference between discretionary costs and nondiscretionary costs is that discretionary costs are more controllable.

Accepted Answer

A) True 
 B)False

Question 16

After a review of your friend's current financial situation you discover she is carrying a $4500 credit card balance with an APR of 22%.What is the best advice you can give to your friend?

Accepted Answer

A) to eliminate using her credit card for nonessential purchases 
B) to switch credit card companies, since many companies offer benefits like frequent flyer miles 
C) to keep using the card and not to worry about the balance, since all interest is tax deductible 
D) to place a high priority on eliminating her credit card balance 
A) to eliminate using her credit card for nonessential purchases 
B) to switch credit card companies, since many companies offer benefits like frequent flyer miles 
C) to keep using the card and not to worry about the balance, since all interest is tax deductible 
D) to place a high priority on eliminating her credit card balance

Question 17

The federal government requires mutual funds to only invest in government securities.

Accepted Answer

A) True 
 B)False

Question 18

Companies are required to pay dividends on corporate stock.

Accepted Answer

A) True 
 B)False

Question 19

What is one of the most important determinants of the amount of credit you can obtain when applying for credit?

Accepted Answer

A) cash in bank account 
B) parents' income 
C) number of credit cards 
D) credit history 
A) cash in bank account 
B) parents' income 
C) number of credit cards 
D) credit history

Question 20

An RRSP contribution is not tax deductible.

Accepted Answer

A) True 
 B)False

Exam 20: Personal Finance

The key to building wealth is to remain consistent.

Which of the following is required for responsible use of a credit card?

A tax free savings account contribution is tax deductible.

As a college graduate,Allen can expect which of the following?

What is the key to building wealth?

What is the term for brokers who provide a wide range of services including research,financial planning,and tax advice?

Discuss the traditional ways to wealth accumulation.

Which of the following is an example of an individual retirement plan?

How can you apply the principles of budgeting to your own finances?

Studies show that Bachelor degree holders earn an average of 88% more over their lifetime than high school graduates.

Preparing your budget doesn't do you much good unless you track your actual spending to what you budgeted for various items.

What is a benefit of utilizing commercial personal finance software packages such as Quicken®?

Studies have shown that individuals with a university education earn an average salary when they reach the age of 40 that is how much higher than they would have received with only a high school education?

Evaluate strategies to help build a sufficient savings and emergency fund.

The difference between discretionary costs and nondiscretionary costs is that discretionary costs are more controllable.

After a review of your friend's current financial situation you discover she is carrying a $4500 credit card balance with an APR of 22%.What is the best advice you can give to your friend?

The federal government requires mutual funds to only invest in government securities.

Companies are required to pay dividends on corporate stock.

What is one of the most important determinants of the amount of credit you can obtain when applying for credit?

An RRSP contribution is not tax deductible.

Business Now: Change Is the Only Constant

Business Communication: Creating and Delivering Messages That Matter

Business Ethics and Social Responsibility: Doing Well by Doing Good

Economics: the Framework for Business

Business Formation: Choosing the Form That Fits

Small Business and Entrepreneurship: Economic Rocket Fuel

Accounting: Decision Making by the Numbers

Finance: Acquiring and Using Funds to Maximize Value

Securities Markets : Trading Financial Resources

Marketing: Building Profitable Customer Connections

Part 1: Product and Promotion: Creating and Communicating Value

Part 2: Product and Promotion: Creating and Communicating Value

Distribution and Pricing: Right Product, right Person, right Place, right Price

Management, motivation, and Leadership: Bringing Business to Life

Human Resource Management: Building a Top-Quality Workforce

Managing Information and Technology: Finding New Ways to Learn and Link

Operations Management: Putting It All Together

The World Marketplace: Business Without Borders

Labour-Management Relations

Business Law

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