Ill put the answers for the 'Financial Literacy Unit Test' below.
1. Which of the following statements is true when comparing these two banks?
- Bank B has a lower minimum deposit per month and lower overdraft fees.
- Bank A has lower ATM fees and more locations.
- Bank A has more nearby locations and a lower minimum deposit per month.
- Bank B has more locations and lower ATM fees.
2. You make a purchase of $600 on a new credit card with a yearly interest rate of 12%. You make a large payment your first month of $200. What is the credit card’s balance before you make the payment?
-$472
-$672
-$406
-$606
3. What is a disadvantage to using a credit card instead of a debit card?
- You must pay interest on credit card purchases.
- You have to wait to save up enough money first.
- You can get rewards such as free airline miles.
- The money comes straight out of your checking account.
4. You review your check register and suspect you have made a mistake. On which date did you first update the balance incorrectly?
- 8/3
- 8/7
- 8/6
- 8/9
5. You start with $1,000 in your checking account. You write a check for $100, withdraw $200 from the ATM, deposit $300, and then transfer $400 to another account. You check the bank’s website; it shows your balance as $700. Which of these transactions has not been included in the updated balance yet?
- The ATM withdrawal.
-The check.
-The deposit.
-The transfer.
6. If your credit score is 756, and your friend’s credit score is 642, who is more likely to have an easier time getting a loan?
- Your friend, because their credit score is better.
- You, because your credit score is better.
- There would be no difference in your and your friend's ability to get a loan.
- This can't be determined from this information.
7. Why should you check your credit history regularly?
- It will raise your credit score.
- You should look for mistakes so that you can correct and issues.
- Checking your credit report establishes credit history.
- It is required.
8. Which of the following is a benefit of having a positive credit history?
- It's easier to have an application to rent an apartment accepted.
- A co-signer will be allowed to help you with loans.
- You're more likely to get higher interest rates on loans.
- You're more likely to get approved for a prepaid cell phone plan.
9. Which of the following is a way to keep good credit?
- Skip a payment.
- Open as many credit cards accounts as possible.
- Use credit cards responsibly.
- Cancel all credit cards.
10. Joyce is in the sixth grade and is unsure if she wants to go to college or not. She knows that it is important, however, to save for the possibility. Which of the following is the best strategy to start saving money?
- Put all extra money into a savings account.
- Sell her belongings for extra money.
- Put 10% of any money she earns into a savings account.
- Ask friends and family for money.
11. Which work-study job would be most appropriate for a college student majoring in English?
- Working as an intern at law firm.
- Volunteering at a food pantry.
- Coaching a children's softball team.
- Tutoring high-school students with reading disabilities.
12. Which of the following is a reason to search for scholarships before taking out a student loan?
- Scholarships need to be repaid but at a lower interest rate than student loans.
- Scholarships are awarded on a needs-based basis, while student loans require you t show a good credit history.
- Scholarships do not need to be repaid, while student loans do not along with their interest.
- Scholarships allow you to work on a campus and earn money toward you college bills, while student loans do not.
13. Tameka makes $83,616 a year as an engineer at NASA. If she works 40 hours each week, how much does she make per hour?
- $40.20
- Not enough info
- $1,608
- $41.81
14. Armando plans to work 36 years at a job where he makes $56,000 per year. He wants to have a lifetime income over $2,000,000. Will his lifetime income meet his goal? Solve to find his lifetime income.
- Yes, his lifetime income will be $2,016,000.
- No his lifetime income will be less than $2,000,000.
- Yes, his lifetime income will be $2,128,000.
- Not enough info.
I cant do 15 for you since its a writing question. :3
1. Bank B has more locations and lower ATM fees.
2. $606
3. You must pay interest on credit card purchases.
4. 8/6
5. The check.
6. You, because your credit score is better.
7. You should look for mistakes so that you can correct any issues.
8. Its easier to have an application to rent an apartment accepted.
9. Use cred cards responsibly.
10. Put 10% of any money she earns into a savings account.
11. Tutoring high-school students with reading disabilities.
12. Scholarships do not need to be repaid, while students do along with their Interest.
13. $40.20
14. Yes, his lifetime income will be $2,016,000
I hope this helps! >:3