True/False
Indicate whether the statement is true or
false.
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1.
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The market value of a stock is set by the company that issues the stock.
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2.
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Real estate refers to various types of insurance consumers buy.
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3.
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As a person pays off a mortgage, equity in the home increases.
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4.
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Collecting sport trading cards, stamps, and antiques may be a form of
investment.
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5.
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A consumer is a person who buys and uses goods or services.
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6.
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The Good Housekeeping Seal promises the product will be replaced or your money
will be refunded if the product is found to be defective within one year of purchase.
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7.
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One of the least effective sources of consumer information is information from a
consumer who has already purchased the product or service you are interested in buying.
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8.
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Better Business Bureaus are supported by the federal govenment and dues paid by
member consumers.
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9.
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As a wise consumer, you should always try to examine a product before you buy it
and make sure it will satisfy your needs.
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10.
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A business’s reputation is not important to consider when selecting a
place to make a purchase.
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11.
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The smart consumer takes time to plan purchases and buys at the right
time.
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12.
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One of the best ways to avoid impluse buying is to make a shopping list and
stick to it.
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13.
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The Food and Drug Administration makes certain that food, drug, and cosmetic
products are not harmful to consumers.
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14.
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A guarantee will cover damages caused by product misuse.
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15.
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In being a reasonable consumer, you should be sure you have cause for a
complaint before you make it known.
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16.
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Forgery is a crime.
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17.
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A bank statement provides a summary of activities for a checking account,
usually covering a one-month period.
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18.
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Loan credit is available from several kinds of financial institutions.
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19.
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Businesses avoid long-term credit because it is bad for business.
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20.
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The use of credit does not generally result in overbuying.
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21.
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Finance charges are often added to the amount that is owed on credit
purchases.
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22.
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Credit cards avoid the necessity of carrying large amounts of money when
traveling.
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23.
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Your credit rating is not important when applying for a credit card.
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24.
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You should consider the total cost of credit before borrowing money or opening a
charge account.
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25.
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A three-month loan made on January 5 would be due on April 5.
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26.
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When you borrow money, you may want to repay the loan in several partial
payments instead of one large single payment.
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27.
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Being creditworthy means that you have good grades, drive safely, and have a
part-time job.
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28.
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It is not necessary nor important to fill in every blank on a credit application
form.
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29.
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Present and former employers are often contacted to verify information written
on credit application forms.
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30.
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If you cannot make your payments as agreed upon, the first thing you should do
is contact your creditors and explain your situation.
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31.
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Governments may borrow money to build parks and highways.
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32.
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When a person saves money in a bank or other financial institution, those funds
are commonly borrowed by others.
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33.
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The more frequently compounding occurs, the faster a person’s savings will
grow.
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34.
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Simple interest usually results in higher earnings than compound
interest.
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35.
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Most financial institutions have insurance that protects the savings of
depositors.
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36.
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A minimum deposit is commony required for a certificate of deposit.
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37.
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If you are very careful, you will be able to avoid all losses.
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38.
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Large economic losses can be avoided by sharing the loss with other
people.
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39.
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Policyholders should know exactly what protection is provided by the kinds of
insurance they have.
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40.
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An important part of an insurance agent’s job is to help you select the
proper kind of protection from economic loss.
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41.
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Premiums collected by insurance companies are invested.
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42.
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Insurance rates are basically the same from all automobile insurance
companies.
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43.
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The cost of insurance is usually lower when one of the drivers in the
insured’s family is under age 30.
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44.
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Most car owners buy package policies that include most or all of the necessary
automobile insurance coverage.
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45.
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Distance to the nearest fire department and water supply can influence the
amount of premiums for homeowners insurance.
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46.
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Because property values increase over the years, property owners should review
the value of their property and insurance coverage every few years.
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47.
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Renters have many of the same property and liability insurance needs as
homeowners.
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48.
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The FDIC determines the interest rates banks charge for loans.
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49.
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Mortgage companies are most helpful when a person borrows to buy a home.
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50.
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Safe-deposit boxes allow savers to earn interest on their money.
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51.
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Checks are usually not considered to be a safe method for making
payments.
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52.
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A regular checking account commonly earns interest.
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53.
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A signature card must be completed for each deposit.
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54.
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A joint account requires that both account owners sign checks.
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55.
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An endorsement refers to the time between the receipt of a deposit and the
availability of the funds.
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56.
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A policyholder is the person who must rely on another for financial
support.
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57.
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With term insurance, if the insured does not die during the period for which the
life insurance policy was purchased, the insurance company is not required to pay anything.
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58.
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With level term insurance, the amount of protection and the premiums remain the
same while the insurance is in effect.
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59.
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Whole life is permanent insurance that extends over the lifetime of the
insured.
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60.
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To have an insurable interest in the life of another person, you must receive
some kind of financial benefits from that person’s continued life.
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61.
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When an illness or injury requires you to be hospitalized, hospital insurance
usually pays most or all of the charges for your room, food, and hospital expenses.
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62.
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HMOs emphasize preventative health care.
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63.
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Social Security is paid only by employees.
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64.
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To buy wisely you must gather information carefully before making a
purchase.
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65.
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A budget allows you to meet your personal goals with a system of saving and wise
spending.
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66.
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Financial goals are short-term or long-term objectives stated in dollar
terms.
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67.
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Variable expenses are living costs that occur regularly and are for the same
amount each time.
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68.
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A financial inventory includes a careful appraisal of your finances.
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69.
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A successful budget should be evaluated regularly.
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70.
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The best spending plan should be written so everyone affected by it can review
the plan.
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Multiple Choice
Identify the choice that best completes the
statement or answers the question.
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71.
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A debt security represents
a. | ownership in a company. | c. | profits of a
company. | b. | borrowing by a company. | d. | taxes paid by a company. |
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72.
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An example of an equity security is a
a. | type of debt. | c. | share of stock. | b. | bond. | d. | municipal bond. |
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73.
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A municipal bond represents
a. | ownership in a company. | b. | an investment in a foreign
corporation. | c. | a corporate debt. | d. | borrowing by a state or local
government. |
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74.
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A Series EE savings bond purchased for $50 would have a maturity value of
a. | $100 | c. | $75 | b. | $50 | d. | none of the
above. |
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75.
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The market value of a stock can be affected by
a. | how well a business is doing. | b. | the state of the economy. | c. | the current phase of
the business cycle. | d. | all of the
above. |
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76.
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For their first residence, many people rent
a. | a townhouse | c. | a mobile home. | b. | a condominium. | d. | an apartment. |
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77.
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A mortgage is used to
a. | rent a apartment. | c. | borrow money to buy a home. | b. | insure
property. | d. | invest in stocks
and bonds. |
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78.
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Julie is concerned about changing interest rates in the future. Which
mortgage would be the best recommendation?
a. | adjustable rate | c. | condominium | b. | fixed rate | d. | equity |
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79.
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A professional trained to assist people with buying or selling a home is
a. | a real estate agent. | c. | a lawyer. | b. | an appraiser. | d. | an assessor. |
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80.
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An appraiser helps a home buyer by
a. | estimating the value of a home that is being considered. | b. | reducing the taxes
owed on a home. | c. | providing current information on mortgage rates. | d. | showing various
homes available for sale. |
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81.
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The assessed value of a home is used to determine a homeowner’s
a. | insurance bill. | c. | mortgage payments. | b. | maintenance expenses. | d. | property tax. |
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82.
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Items of personal interest that can decrease in value in the future are
called
a. | commodities. | c. | essentials. | b. | futures. | d. | collectibles. |
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83.
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Examples of products that consumers buy include
a. | food | c. | appliances | b. | clothing | d. | all of the
above. |
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84.
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Consumers pay for services each time they go to
a. | a movie. | c. | a car wash. | b. | a dentist. | d. | all of the
above. |
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85.
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Underwriters Laboratories, Inc., which concerns itself with fire and electrical
safety, is an example of
a. | a product-testing organization. | c. | a broadcast
organization. | b. | a print publisher. | d. | all of the above |
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86.
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Useful advertisements often tell you what the product is, how it is made,
and
a. | what the product defects are. | c. | how much it cost to
make. | b. | what it will do. | d. | none of the above. |
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87.
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A type of advertising that originates with the consumer is
a. | labels. | c. | word-of-mouth. | b. | customer service
departments. | d. | none of the
above. |
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88.
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Sales used to clear merchandise that stores no longer wish to carry in stock
are
a. | promotional sales. | c. | special purchase sales. | b. | clearance
sales. | d. | holiday
sales. |
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89.
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A name given to a product or service that is intended to distinguish it from
other similar and/or competitive products or services is
a. | brand name. | c. | a convenience store. | b. | a price index. | d. | none of the
above. |
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90.
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An example of a store brand is
a. | Craftsman. | c. | Sony. | b. | Green Giant. | d. | Timex. |
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91.
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Stores that emphasize lower prices on their products are
a. | convenience stores. | c. | discount stores. | b. | full-service stores. | d. | specialty
stores. |
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92.
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Stores that have a special line or products for sale are
a. | convenience stores. | c. | discount stores. | b. | full-service stores. | d. | specialty
stores. |
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93.
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The Consumer Bill of Rights was presented by
a. | Gerald Ford. | c. | John F. Kennedy. | b. | Bill Clinton. | d. | Richard Nixon. |
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94.
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The agency that has the authority to set safety standards is the
a. | Food and Drug Administration. | b. | Consumer Product Safety
Commission | c. | US Department of Agriculture. | d. | Federal Trade
Commission. |
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95.
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Consumer responsibilities include
a. | being honest and reasonable. | c. | being informed and
involved. | b. | reporting unethical practices. | d. | all of the
above. |
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96.
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The person to whom a check is written is the
a. | drawer | c. | payee | b. | drawee | d. | forger |
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97.
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“Drawee” refers to the
a. | owner of a checking account | b. | bank or other financial
institution | c. | person to whom a check is written | d. | person who endorses a
check |
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98.
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Writing another person’s signature on a check without his or her
permission is
a. | forgery | c. | postdating | b. | overdrawing | d. | scaling |
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99.
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Writing checks for more than the amount deposited in an account is called
a. | stopping payment | c. | postdating | b. | forgery | d. | overdrawing |
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100.
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A postdated check refers to a check that is
a. | dated later than the date on which it is written | b. | written
illegally | c. | written by someone not authorized on the account | d. | void after a certain
number of days |
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101.
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If a check is lost, you should consider completing
a. | a signature card | c. | an overdraft request | b. | a stop-payment order | d. | a forged check |
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102.
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A person without a checking account who needs to send money to a company in
another state would probably use a
a. | certified check | c. | personal check | b. | money order | d. | traveler’s
check |
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103.
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The process of returning and paying checks within the banking system is called
a. | reconciliation | c. | clearing | b. | forgery | d. | overdrawing |
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104.
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A bank statement has the purpose of
a. | insuring a savings account | b. | reporting transactions for a checking
account | c. | reporting errors for electronic banking transactions | d. | assisting a person
to open a checking account |
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105.
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Canceled checks are those that have
a. | not cleared the banking system | b. | been issued illegally | c. | cleared the banking
system | d. | stop-order payments issued for them |
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106.
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The document prepared to show agreement between the bank balance and the
customer’s checkbook balance is
a. | bank statement | c. | canceled check report | b. | bank
reconciliation | d. | check
register |
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107.
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Which check is one that has not yet been presented for payment?
a. | overdrawn | c. | forged | b. | canceled | d. | outstanding |
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108.
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Anyone who buys on credit or receives a loan is known as the
a. | lender | c. | creditor | b. | debtor | d. | obligator |
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109.
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A business that receives an invoice with the terms 2/10, n/30
a. | must pay the entire amount right away | b. | must pay $10 now and $30
later | c. | can deduct 2% from the amount owed if payment is made within ten
days | d. | does not have any time limit on the amount to be paid |
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110.
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Which of the following are typical uses of credit by American consumers?
a. | buying fairly expensive products | c. | borrowing to pay
taxes | b. | paying for medical care | d. | all of the above |
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111.
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Which of the following is NOT true about credit references?
a. | They are important to creditors. | b. | They are usually ignored by
creditors. | c. | They may be asked to verify a credit record. | d. | They may be asked
about a bill payment record. |
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112.
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Your honesty and willingness to pay your debits is called
a. | capacity | c. | capital | b. | character | d. | none of the
above |
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113.
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Which of the following is a benefit of credit?
a. | establishing a credit rating | b. | buying larger quantities of things you
want | c. | not having to shop around | d. | getting lower prices for
merchandise |
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114.
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Which of the following is NOT a disadvantage of credit?
a. | careless buying | c. | overuse | b. | overbuying | d. | savings |
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115.
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Which of the following would make it possible for a teenager to get a credit
card in his or her name?
a. | if she or he had a part-time job | b. | if she or he had good grades in
school | c. | if she or he got a parent or guardian to cosign the agreement | d. | none of the
above |
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116.
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A partial payment of the purchase price is called
a. | a finance charge | c. | a regular payment | b. | a down payment | d. | none of the
above |
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117.
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A two-month loan made on March 10 would be due on
a. | April 10 | c. | May 10 | b. | April 11 | d. | May 11 |
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118.
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Special insurance that repays the balance owed if the borrower dies or becomes
disabled is
a. | Credit Insurance | c. | Lenders’ Insurance | b. | Borrower’s
Guaranty | d. | Financial
Insurance |
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119.
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What is the major purpose of having the APR stated?
a. | To increase the cost of lending money. | b. | To make it easier to compare the cost of
credit. | c. | To make it easier for consumers to get loans. | d. | None of the
above. |
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120.
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Which of the following should be checked when getting a loan?
a. | The annual percentage rate. | b. | The amount of the monthly
payments. | c. | The finance charge. | d. | All of the
above. |
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121.
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Which of the following can be used as credit references?
a. | Banks where you have checking and/or savings accounts. | b. | Former
employers. | c. | Other creditors where you have account balances. | d. | All of the
above. |
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122.
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A credit bureau is
a. | a credit reporting agency. | c. | a credit granting
agency. | b. | a credit rating agency. | d. | all of the above. |
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123.
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A record of your transactions completed during a billing period is called
a
a. | statement of account. | c. | credit memorandum. | b. | receipt. | d. | credit check. |
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124.
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An agreement developed cooperatively by a creditor and a debtor to reduce
monthly payments to a more manageable level is called
a. | a truth-in-lending plan. | c. | a debtor ripoff
plan. | b. | a debt-repayment plan. | d. | none of the above. |
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125.
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Investing commonly refers to
a. | opening a savings account. | b. | using your savings to earn more
money. | c. | putting money in a safe place in your home. | d. | storing important
documents in a safe-deposit box. |
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126.
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Savings grow over the years as a result of
a. | dividends received. | c. | interest earned. | b. | depreciation. | d. | higher tax
rates. |
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127.
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A person’s savings would grow faster if the money was compounded
a. | annually. | c. | monthly. | b. | quarterly. | d. | daily. |
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128.
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Liquidity refers to an investment that
a. | has no risk. | b. | is easily changed into
cash. | c. | is insured by a federal government agency. | d. | pays a high rate of
return. |
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129.
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Which of the following has the lowest liquidity?
a. | a savings account | c. | a checking account | b. | government savings bonds | d. | real estate |
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130.
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A savings plan with a low or zero minimum balance is
a. | a regular savings account. | c. | a money market
account. | b. | an EFT account. | d. | a retirement account. |
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131.
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A savings account statement presents
a. | the names of new depositors. | b. | a customer’s record of recnet
deposits. | c. | a summary of deposits, withdrawals, and interest earned. | d. | a list of current
interest rates paid on various savings accounts. |
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132.
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To take money out of a savings account, a depositor must prepare a
a. | savings account register. | c. | signature card. | b. | savings account
statement. | d. | withdrawal
slip. |
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133.
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A long-term deposit that pays a higher interest rate than other types of
accounts is
a. | a regular savings account. | b. | a money market account. | c. | a certificate of
deposit (CD). | d. | an interest-earning checking account. |
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134.
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An individual retirement account (IRA) is designed to
a. | provide money for workrs who are on strike. | b. | earn higher interest
based on current government bonds. | c. | encourage workers to save for future financial
needs. | d. | increase tax revenues received by the federal
government. |
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135.
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The risk of damage to or loss of property due to theft, wind, fire, flood, or
some other hazard is
a. | accidents. | c. | property risk. | b. | liability risk. | d. | personal risk. |
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136.
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The risk of potential losses to others as a result of injury or damage you may
have caused is
a. | insurance. | c. | property risk. | b. | liability risk. | d. | personal risk. |
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137.
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The planned protection provided by sharing economic losses is
a. | insurance. | c. | property risk. | b. | liability risk. | d. | economic risk. |
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138.
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The money a policy holder must pay for insurance coverage is
a. | a premium. | c. | self-insurance. | b. | a claim. | d. | a deductible. |
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139.
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An amount you must pay before the insurance company pays a claim is
a. | a premium. | c. | self-insurance. | b. | a claim. | d. | a deductible. |
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140.
|
When an individual or business assumes the total risk of economic loss, the type
of insurance is
a. | liability insurance. | c. | self insurance. | b. | property insurance. | d. | coinsurance. |
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141.
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An insurance agent that sells insurance policies from a variety of different
companies is
a. | an insurance broker. | b. | a self-insured insurance
agent. | c. | a single company insurance agent. | d. | an independent insurance
agent. |
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142.
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Insurance is important because
a. | it provides economic security. | b. | it helps our economy. | c. | premiums collected
are used to make loans that help our economy grow. | d. | all of the
above. |
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143.
|
The general term used to describe insurance that you buy to protect yourself
against financial loss if you injure someone else or damage someone else’s property in an
automobile accident is
a. | personal injury and property damage coverage. | b. | medical payments and
collision insurance coverage. | c. | no-fault and assigned-risk
insurance. | d. | automobile liability insurance. |
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144.
|
The two major categories of automobile insurance are
a. | personal injury and property damage coverage. | b. | medical payments and
collision insurance coverage. | c. | no-fault and assigned-risk
insurance. | d. | automobile liability insurance. |
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145.
|
Insurance coverage that protects you from claims resulting from injuries or
deaths for which you are found to be at fault is
a. | personal injury and property damage coverage. | b. | medical payments and
collision insurance coverage. | c. | bodily injury liability
insurance. | d. | automobile liability insurance. |
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146.
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Medical payments protection provides medical coverage for
a. | policyholders while riding in their own car. | b. | policyholders while
riding in someone else’s car. | c. | guests riding in the insured’s
car. | d. | all of the above. |
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147.
|
Automobile coverage that protects you against claims if your car damages someone
else’s property and you are at fault is
a. | collision insurance coverage. | b. | property damage liability
coverage. | c. | medical payments protection coverage. | d. | comprehensive physical damage
coverage. |
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148.
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Collision coverage provides for payment of damages up to
a. | the current value of the car. | b. | the purchase price of the car when you bought
it. | c. | the price of a new car similar to the car damaged. | d. | All the above are
true; the method chosen depends on the insurance company. |
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149.
|
Laws that require you to carry certain types of automobile insurance before your
car can be licensed are
a. | compulsory insurance laws. | c. | insurance laws. | b. | financial
responsibility laws. | d. | assigned-risk plans. |
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150.
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Auto insurance that provides coverage to high risk drivers who are unable to
purchase insurance in the normal fashion is
a. | compulsory insurance laws. | c. | insurance laws. | b. | financial
responsibility laws. | d. | assigned-risk plan. |
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151.
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Property insurance is designed to protect you from financial loss if your
property is lost or destroyed as a result of
a. | theft. | c. | windstorm. | b. | floods. | d. | all of the
above. |
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152.
|
Causes of loss are
a. | claims. | c. | economic risk. | b. | perils. | d. | coverage. |
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153.
|
Property permanently attached to land, such as a house or garage, is
a. | insured property. | c. | real property. | b. | personal property. | d. | attached
property. |
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154.
|
A basic type of property insurance that protects against losses caused by fire
or lightning is
a. | personal liability coverage. | c. | homeowners
policy. | b. | standard fire policy. | d. | extended coverage. |
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155.
|
Additional protection of property that covers damage caused by perils such as
wind, hail, smoke, and falling aircraft, among other things, is
a. | personal liability coverage. | c. | homeowner’s
policy. | b. | standard fire policy. | d. | extended coverage. |
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156.
|
The decrease in value of property is
a. | appreciation. | c. | valuation. | b. | recession. | d. | depreciation. |
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157.
|
The person who acts as the insurance company’s representative and looks at
your damaged property to determine the extent of loss is
a. | an insurer. | c. | an adjuster. | b. | a policyholder. | d. | a sales
representative. |
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158.
|
The widest range of financial services is offered by
a. | a mutual savings bank. | c. | a commercial bank. | b. | a check-cashing outlet. | d. | an investment
company. |
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159.
|
A credit union differs from other financial institutions in that it is
a. | chartered by the federal government. | b. | owned by foreign investors. | c. | taxed at a different
rate. | d. | organized as not-for-profit organization. |
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160.
|
A check-cashing outlet is commonly used by
a. | people who do not have a bank account. | b. | consumers who want to buy
homes. | c. | people who have life insurance. | d. | investors who desire a high rate of
return. |
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161.
|
Automatic teller machines (ATMs)
a. | provide automatic teller services quickly and easily. | b. | provide automobile
loans. | c. | accept applications for credit cards. | d. | report the current value of
investments. |
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162.
|
The items most likely to be stored in a safe-deposit box are
a. | cash | b. | checkbooks | c. | bond & stock
certificates | d. | deposit slips for a savings account |
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163.
|
A common advantage of a checking account is that
a. | every checking account earns interest | b. | lost checks are insured by the federal
government | c. | banks automatically tell you when payments are due | d. | canceled checks can
serve as proof of payment. |
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164.
|
The fee a bank charges for handling a checking account is a
a. | credit transaction. | c. | service charge. | b. | deposit. | d. | minimum
balance. |
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165.
|
The purpose of a signature card is to
a. | serve as identification when cashing a check | b. | allow a bank
customer to obtain cash by just signing a special form. | c. | allow customers to
make deposits quickly. | d. | serve as the bank’s official record of a
depositor’s signature. |
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166.
|
Which account is an account opened by two or more people together?
a. | a joint account | c. | a business account | b. | an EFT account | d. | an interest-earning
account |
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167.
|
When adding money to a checking account, a bank customer prepares a
a. | bank statement | c. | deposit slip | b. | signature card | d. | sharedraft |
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168.
|
The purpose of an endorsement is to
a. | open a checking account with direct deposit. | b. | provide written
evidence that payment has been received. | c. | convert US currency to the currency of another
country. | d. | instruct the bank to automatically put an amount each month in your savings
account. |
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169.
|
A restrictive endorsement commonly uses which of the following words?
a. | “Pay to the order of.” | b. | “For deposit
only.” | c. | “Void if not cashed within 60 days.” | d. | “No words are
necessary.” |
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170.
|
The primary purpose of life insurance is
a. | to provide income if the insured is disabled. | b. | a means of
investing. | c. | a means of saving. | d. | protection against financial loss associated
with dying. |
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171.
|
A life insurance policy that provides financial protection from losses resulting
from loss of life during a definite period of time is
a. | term life insurance | c. | level term insurance | b. | decreasing term insurance | d. | renewable
insurance |
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172.
|
Insurance which allows the policyholder to continue his or her insurance for one
or more terms without taking a physical examination is
a. | permanent term insurance. | c. | level term
insurance. | b. | decreasing term insurance. | d. | a renewable policy. |
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173.
|
Term life insurance on which the amount of protection gradually becomes smaller
but the premiums remain the same during the term is
a. | permanent term insurance. | c. | level term
insurance. | b. | decreasing term insurance. | d. | a renewable policy. |
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174.
|
Permanent insurance that extends over the lifetime of the insured is
a. | whole life insurance. | c. | level term insurance. | b. | decreasing term
insurance. | d. | a renewable
policy. |
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175.
|
Protection provided by regular medicine, hospital, and surgical coverages
is
a. | surgical insurance. | c. | major medical insurance. | b. | hospital
insurance. | d. | basic health
insurance. |
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176.
|
Insurance which provides protection against the high costs of serious illnesses
or injuries is
a. | surgical insurance. | c. | major medical insurance. | b. | hospital
insurance. | d. | basic health
insurance. |
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177.
|
State governments support a health insurance program designed to provide medical
benefits to employees who are injured on the job. This program is
a. | worker’s compensation. | c. | Medicaid. | b. | supplementary
insurance. | d. | Medicare. |
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178.
|
The day-to-day financial activities associated with using limited income to
satisfy your unlimited needs and wants is
a. | discretionary income. | c. | expenditures. | b. | net income. | d. | money
management. |
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179.
|
The two common financial statements used in money management are
a. | the budget & income statement. | b. | the balance sheet & income
statement. | c. | the balance sheet & cash flow statement. | d. | the budget &
balance sheet. |
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180.
|
A type of financial statement which reports what a person or family owns as well
as owes is
a. | a cash flow statement. | c. | a balance sheet. | b. | a capital statement. | d. | an income
statement. |
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181.
|
Items of value are
a. | owner’s equity. | c. | assets. | b. | liabilities. | d. | net worth. |
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182.
|
A statement that reports net wages and other income along with spending for a
given period of time, such as for a month, is
a. | a cash flow statement. | c. | a balance sheet. | b. | a capital statement. | d. | an income
statement. |
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183.
|
The first component that should be planned for in a budget is
a. | variable expenses. | c. | savings. | b. | fixed expenses. | d. | living
expenses. |
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184.
|
A good budget
a. | must be realistic. | c. | should have a simple format. | b. | should be
flexible. | d. | all the
above. |
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185.
|
A report that summarizes current financial condition, acknowledges financial
needs, and sets a direction for future financial activities is
a. | an income statement. | c. | a balance sheet. | b. | a financial plan. | d. | an owner’s equity
statement. |
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186.
|
Evaluating one’s financial position, setting financial goals, and guiding
activities and resources toward reaching those goals is
a. | an income statement. | c. | financial planning. | b. | estate planning. | d. | an owner’s equity
statement. |
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187.
|
The accumulation and management of property during one’s lifetime and the
distribution of one’s property at death is
a. | an income statement. | c. | financial planning. | b. | estate planning. | d. | an owner’s equity
statement. |
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188.
|
The part of the Social Security insurance system that provides pensions to
retired workers and their families, death benefits to dependents of workers who die, and benefits to
disabled workers and their families is
a. | retirement, survivors, and disability insurance. | b. | unemployment
insurance. | c. | a pension. | d. | an annuity. |
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