Econ: Unit 1 Review

What does APR stand for?

• Annual Payment Rate

• Annual Percentage Rate

• Annual Profit Rate

• Annual Principal Rate

What is a credit score?

• A number that represents your savings

• A number that shows your annual income

• A number that indicates your monthly expenses

• A number that determines your financial responsibility

What is a debit?

• A payment method linked to your bank account

• A loan from the bank

• A form of credit

• A type of investment

What is FICA used for?

• Funding defense

• Funding education

• Funding Social Security and Medicare

• Funding infrastructure

What are goods?

• Investment funds

• Physical objects that can be purchased

• Financial assets

• Services provided by businesses

What is gross income?

• Net income

• Total income from wages before any taxes or deductions

• Income from investments

• Income after taxes

What is an incentive?

• A punishment for bad behavior

• A tax increase

• A reason for doing something; a positive reward for behavior

• A financial penalty

Which of the following is an indicator of good credit?

• High levels of debt

• Irregular payments

• No credit history

• Multiple lines of credit

What is interest?

• A financial penalty

• An investment account

• The price paid for the use of borrowed money

• The principal amount of a loan

What does macroeconomics study?

• The production processes

• Competitive businesses

• The study of the economy as a whole

• The economic behavior of individuals