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Personal Finance Literacy Exam 5
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Personal Finance Literacy Exam 5
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25 Questions

1. Investors continue to purchase the Cutting Edge company's stock even though its stock price is increasing. As a result, the company's __________ value is also increasing.
2. Annie and her husband Jeff want to buy a house. Which of the following financial-services providers could help them explore mortgages, create a strategy for home buying, and determine how much they can spend on their new home:
3. If individuals are not self-employed, which of the following is a type of earned income they might receive:
4. Before you begin planning your estate, what should you do?
5. Janie has a problem with impulse spending. When she goes to the store, she frequently ends up purchasing items that she doesn't really need. Impulse spending can lead to
6. Which of the following is a disadvantage of using cash as a form of financial exchange:
7. When a small business purchases insurance to protect itself from losses associated with flooding and hurricanes it is
8. Connor thinks that he may be interested in pursuing a career as an insurance underwriter. He accessed a government website, which provided him with information about an insurance underwriter's educational requirements, typical job responsibilities, salary ranges, and
9. If Danita invests $6,000 at a simple annual interest rate of 5%, the future value of her investment at the end of a five-year period will be
10. What is an example of good debt?
11. Christine is buying a new computer. If she's making her decision logically, which of the following is true:
12. Which of the following information should you include in your resume:
13. To learn objective information about a news topic, you should
14. When setting your financial goals, you should choose goals that are
15. According to Isaac's pay stub, his total earnings before deductions are $1,425. His total deductions are $255. What is Isaac's net income?
16. Which of the following is the result of both parties using the collaborative negotiation style during a negotiation:
17. If William wants to determine the dollar amount that he has earned before taxes and other deductions for the pay period, he should look at the __________ on his paycheck stub.
18. Lucy has decided to open a restaurant. What kind of lending service might she need?
19. What is one reason that regulation in the securities and investments industry is considered ethical?
20. Choosing to buy an item at the checkout counter is often an example of
21. Who purchases workers' compensation insurance?
22. Which of the following is an example of entrepreneurship:
23. When you receive a bank statement, you should always
24. Why should an investor who wants to actively trade his/her investment choose an ETF instead of a mutual fund?
25. Before recommending specific products or services to clients, what should a finance professional do?