Can you please check my answers:)
1. John Gray bought a basic car for $8,250.00, with options that cost $324.00. There's a 6% sales tax in
his state and a combined $50.00 license and registration fee. What was John's total cost?
A. $9,138.44
B. $10,000.00
C. $9,141.44
D. $14,247.00
2. Which of the following is intended primarily to enhance a person's tax advantage and retirement income?
A. U.S. Savings Bond
B. Growth fund
C. Money market fund
D. IRA
3. A _______ is a group of people who agree to save their money together and to make loans to each other
at a relatively low rate of interest.
A. investment firm
B. credit union
C. commercial bank
D. Christmas club
4. A share of stock in the Lofty Cheese Company is quoted at 25 1/4. Suppose you hold 30 shares of that
stock, which you bought at 20 1/4. If you sell your stock at 25 1/4, which one of the following statements
would be true?
A. You'll suffer a loss of $15.
B. You'll make a profit of $150.
C. You'll make a profit of $15.
D. You'll suffer a loss of $150.
5. The Waverly Brush Company issued 4,000 shares of common stock worth $200,000.00 total. What is
the par value of each share?
A. $500
B. $40
C. $50
D. $400
6. In a health insurance policy, a statement that an applicant won't be covered for a certain pre-existing
condition is called a/an
A. major medical coverage.
B. exclusion.
C. supplement.
D. waiting period.
7. _______ health insurance coverage pays for at least part of hospital costs and fees.
A. Basic
B. Major medical
C. HMO
D. PPO
8. The Hamilton Brush Company issued 2,500 shares of common stock worth $100,000.00 total. What is
the par value of each share?
A. $400.00
B. $250.00
C. $25.00
D. $40.00
9. If you have earned income, which of the following retirement devices must you contribute to, by law?
A. Social security (FICA)
B. Pension plan
C. Vesting plan
D. IRA
10. What is the first step that a smart new-car buyer should take before talking to salespersons and putting
a deposit on a car?
A. Test-drive the car.
B. Study the car market.
C. Shop around for a car loan.
D. Obtain car insurance.
11. A _______ is invested by managers in a diversity of stocks, bonds, and other securities.
A. mutual fund
B. preferred stock
C. promissory note
D. series EE bond
12. A share of stock in the Bree Medical Supply Company is quoted at 35 1/4 . Suppose you hold 20
shares of that stock, which you bought at 31 1/2. If you sold your stock at 35 1/4, which of the following
would be true?
A. You made a profit of $705.00.
B. You suffered a loss of $75.00.
C. You suffered a loss of $630.00.
D. You made a profit of $75.00.
13. Jane Marko buys a car for $11,400.00. In three years, the car depreciates 48% in value. How much is
the car worth in three years?
A. $5,472.00
B. $4,788.00
C. $3,800.00
D. $5,928.00
14. A master plan is devised for
A. short-term goals.
B. long-range goals.
C. investments.
D. emergencies.
15. Ray Cupple bought a basic car costing $10,150.00, with options costing $738.00. There is a 6% sales
tax in his state and a combined $50.00 license and registration fee. What was Ray's total cost?
A. $11,547.00
B. $10,938.00
C. $11,541.28
D. $11,591.28
16. The Emerson First National Bank is lending you money to buy a new car. The loan agreement will
probably state that you must carry _______ insurance.
A. medical
B. no-fault
C. liability
D. collision
17. Your _______ should furnish enough money to live on, in an emergency, for six months.
A. savings
B. investments
C. IRA
D. interest
18. With _______ insurance, the insured agrees to pay a specific premium each year until death.
End of exam
A. limited-payment
B. whole-life
C. half life
D. endowment life
19. Which of the following devices imparts ownership in a corporation?
A. U.S. Treasury Bill
B. Bond
C. Stock
D. Savings account
20. The major difference between a calculator and a computer, when performing calculations, is that a
A. computer is slower but needs less human assistance.
B. calculator is faster but needs more human assistance.
C. computer is faster but needs more human assistance.
D. calculator is slower and needs more human assistance.
Here's my answers
1. A 11. A
2. D 12. D
3. B 13. D
4. B 14. B
5. C 15. D
6. B 16. D
7. D 17. A
8. D 18. B
9. A 19. C
10. B 20. C
http://www.jiskha.com/display.cgi?id=1359341067
7. In a health insurance policy, a statement that an applicant won't be covered for a certain pre-existing condition is called a/an
A. exclusion.
B. waiting period.
C. major medical coverage.
D. supplement.
it is C
#7 is a
To check your answers, we can go through each question and explain how to arrive at the correct answer.
1. John Gray bought a basic car for $8,250.00, with options that cost $324.00. There's a 6% sales tax in his state and a combined $50.00 license and registration fee. What was John's total cost?
To calculate John's total cost, we add the cost of the car, the cost of options, sales tax, and license/registration fee.
Total cost = Car cost + Options cost + Sales tax + License/Registration fee
Total cost = $8,250.00 + $324.00 + 6% of ($8,250.00 + $324.00) + $50.00
Calculating the sales tax:
Sales tax = 6% of ($8,250.00 + $324.00)
Sales tax = 0.06 * ($8,250.00 + $324.00)
Now, we can plug in the values and calculate:
Total cost = $8,250.00 + $324.00 + 0.06 * ($8,250.00 + $324.00) + $50.00
Calculating this expression, we get:
Total cost = $9,141.44
Therefore, the correct answer is C. $9,141.44.
You can now apply the same process to check your answers for the remaining questions. Let's move on to the next question.
2. Which of the following is intended primarily to enhance a person's tax advantage and retirement income?
The correct answer is D. IRA (Individual Retirement Account). An IRA is specifically designed to provide tax advantages and retirement income.
Therefore, your answer is correct. Moving on to the next question.