prin of business

Which statement describes a benefit of credit cards over debit cards?

• Credit cards are available to teenagers while debit cards are not.

• Credit cards allow you to buy things now, even if you don't have the fullfunds to cover them.

• c. Credit cards work better for college tuition payments.

• Credit cards can be used for online shopping while debit cards cannot.

Roxanne saved $1,000 from her summer job cleaning pools. Which of thesesavings vehicles would work best for her if she doesn't need access to themoney for a number of years AND wanted to earn the highest interest rate?

• traditional savings account

• checking account

• online savings account

• certificate of deposit

whats the best way to improve your creditcard score?

• invest

• pay your bills on time

• take out and pay off all sorts of loans

• dont spend to much money

how can you access money in a checking account?

• by taking out loans

• By leading money to others

• by using your credit card

• use your debit card at an atm

What tax form is used to indicate to your employ how much to take out ofyour check for taxes?

• w-4

• 2839

• 1400

• 2300

Each of the following is a benefit of online and mobile banking EXCEPT

• You can check your balances before you make a purchase

• You can transfer money electronically between accounts

• You can overdraw your account without penalty

• You can keep an ongoing record of your deposits and withdrawals

Which of the following is TRUE about having a good credit score?

• You're automatically eligible to have any remaining student loan balanceforgiven by the Federal government

• Universities will be more likely to accept you when making admissions decisions

• Lenders are more likely to extend credit to you at lower interest rates.

• You get a $100-$500 check in the mail from the Federal government as areward

Anna is a sophomore in high school and receives her first paycheck. She realizesthat her take-home pay is substantially less than the rate she was offeredwhen hired. Explain how this probably happened.

• Taxes, and social security, are being deducted from her pay

• Taxes, social security, and Medicare are being deducted from her pay

• Taxes, and Medicare are being deducted from her pay

• Simply taxes are being deducted

Define the terms; principle, interest rate, term, monthly payment.

Answer explanation

INTEREST RATE is how much the lender charges per year for the loan; PRINCIPAL is the initial amount Sylvester takes out, TERM is the length of the loan, and MONTHLY PAYMENT is the amount Sylvester pays each month.

Now that you have a part time job, you'd like to open a checking accountwhere you can deposit your biweekly checks and then use your debit card topay for expenses with your friends. You'll probably have at most $450 in youraccount at any one time. As you decide where to open the account, whichaccount feature should you probably care LEAST about?

• Overdraft fee

• The annual fee

• ATM fees

• The intrest rate