Practice Final for Financial Algebra

Opening a credit card account using someone else's name is known as

• Churning

• Identity Theft

• Phishin

• Ponzi Scheme

What is NOT a benefit of a student loan?

• A college education provides a higher lifetime income.

• A student loan provides students with the ability to attend college.

• Student loans are usually offered at a relatively low interest rate.

• Student loans do not have to be repaid.

Tags

CCSS.6.EE.B.8

Martina is earning 5% interest on savings in her account. The rate of inflation last year was 2%. What is Martina's real return on her savings last year?

• 2.5%

• 3%

• 5%

• 7%

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CCSS.6.RP.A.3C

Disposable income is equal to

• Gross income

• Net income

• Savings

• Taxable income

The statement "pay yourself first" refers to:

• Making a deposit to a savings account every paycheck

• Making the most of your money

• Taking a class to help you learn to save

• Taking time to plan your spending

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CCSS.7.EE.A.1

Based on the choices below, which of the following credit card offers is the best for someone who plans to borrow $1000 and make payments for one year.

• 0% introductory APR and 12.5% APR after 12 months

• 0% introductory APR and 18% APR after 3 months

• 8% APR for balance transfers

• 8.9% fixed APR

Index exchange traded funds

• Have lower management fees than most mutual funds

• Provide and easy way to diversify your investments

• Seek to achieve the same return as a particular market index by buying and holding all the securities in a particular market

• All of these

Fixed household expenses include:

• Car payment, auto insurance, gas

• Meals, entertainment, clothing

• Mortgage, auto insurance, life insurance

• Rent, renter's insurance, clothing

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CCSS.8.F.B.4

CCSS.HSF.LE.A.2

The FDIC insures depositors against the loss of

• 90% of funds per account holder per institution

• all funds per account holder per institution

• up to 100,000 per account holder per institution

• up to 250,000 per account holder per institution

What will the compoun value of $10 be in 2 years if the interest rate is 4%?

• 10.40

• 10.82

• 11.50

• 12