Unit 4 Test Review

An example of fraud would be a salesperson telling a customer, “This is the best car on the market today."

• True

• False

Good money management begins with an understanding of your current financial status.

• True

• False

A credit report is a report that summarizes your current financial condition, acknowledges your financial needs, and sets a direction for your future financial activities.

• True

• False

Clearing refers to the paying of checks among different banks.

• True

• False

Common taxes on purchases are sales tax and gift tax.

• True

• False

A down payment is a payment of part of the purchase price.

• True

• False

The first step someone with credit problems should consider is filing for bankruptcy.

• True

• False

The over-the-counter market is a network where securities transactions occur using telephones and computers rather than on an exchange.

• True

• False

Bodily injury liability insurance protects a driver from claims resulting from injuries or deaths for which the insured is at fault.

• True

• False

The deductible clause in health insurance discourages the filing of minor claims.

• True

• False