Question

Can someone tell me if my answers are correct?? Graduation depends on me passing this test!! PLEASE HELP! will medal and fan anyone who helps!!!!!

Answer 1

1. _____ is a financial term that denotes when an asset increases in value. (1 point)
a.) Appreciate
***b.) Growth
c.) Increase
d.) Depreciate

2. The correct order for savings is _____. (1 point)
a.) emergency fund, pay off credit card, and retirement fund
b.) pay off credit card, retirement fund, and emergency fund
***c.) pay off credit card, emergency fund, and retirement fund
d.) retirement fund, emergency fund, and pay off credit card

3. Which item is NOT a savings instrument? (1 point)
***a.) checking account
b.) savings account
c.) CD
d.) Treasury bond

4. A _____ is the amount you pay for the purchase of a house that decreases the amount of the loan. (1 point)
a.) closing payment
b.) closing cost
c.) origination payment
***d.) down payment

5. A tendency to avoid putting money into high-risk investments is known as being _____. (1 point)
a.) saver
***b.) risk-adverse
c.) investment-adverse
d.) conscientious saver

6. Which item is the U.S. Treasury most known for issuing? (1 point)
a.) CDs
b.) savings notes
***c.) bonds
d.) investment notes

7. Your ability to borrow money at lower rates improves as _____. (1 point)
a.) you save more
b.) you earn more
c.) your debt ratio increases
***d.) your credit score increases

8. _____ improves as degree of educational attainment increases. (1 point)
***a.) Median income
b.) Borrowing rate
c.) Interest rate
d.) Savings ability

9. When paying off credit card debt, it is best to pay off what cards first.
a.) high balance, low interest
b.) low balance, low interest
c.) high balance, high interest
***d.) low balance, high interest

10. Which type of debt is often unsecured
***a.) mortgage
b.) auto loan
c.) boat loan
d.) credit card

11. income and expenses are found on a ___
a.) budget
***b.) income statement
c.) expense statement
d.) income flow statement

12. When your income is more than your expenses you have a ___
a.) a deficit
***b.) excess income
c.) a surplus
d.) appreciation

13. If you are given a 4% raise and inflation is 1% you are ___
a.) making 4% more
***b.) making 3% more
c.) making 3% less
d.) making 4% less

14. Which is not a part of your budget?
a.) fixed expenses
b.) gross pay
***c.) discretionary expenses
d.) realized income

15. To put money into a savings account, CDs, and stocks is to ______.
a.) be risk-adverse
***b.) invent
c.) secure assets
d.) diversify

16. You are paid $10.65/hr. Your deductions are FICA (7.65%), federal tax withholding (9.9%), and state tax withholding (7.35%). Your housing and fixed expenses are $493.68/month. How many hours per month must you work to be sure those expenses are paid? (Type as a whole number with no decimal places.)
65 hrs/month


17. You are paid $15.60/hr. Your deductions are FICA (7.65%), federal tax withholding (11.15%), and state tax withholding (6.5%). You work 15 hr/wk and save 10% each week. How much do you save each month? (1 point)
$69.92 /month

18. You work a part-time job earning $6.80/hr with tips that average $2.30/hr. You work 20 hr/wk and your deductions are FICA (7.65%), federal tax withholding (8.95%), and state tax withholding (6.1%). How much are you allowed in housing expenses per month? (1 point)
$562.74 /month

19. Your housing and fixed expenses are $685.70/month. If they are 33% of your realized income, how much is your realized income per month? (1 point)
$459.42 /month

20. You owe $2,875.59 on a credit card at a 13.7% APR. If you pay $400.00/month, what is the difference in the amount of interest accrued by the end of the month if you pay at the beginning of the month versus the end of the month? (1 point)
$2,537.50

21. You save $3,260.00 in a savings account earning a 3.55% APR compounded monthly. How much is the total interest earned by the end of the third month?
$29.01

22. Your realized income is $36,864.00/yr. Your fixed and housing expenses are 32% and your savings are 15% of your realized income per month. How much discretionary money do you have, excluding savings, per month?
$1,628.16

23. You earn $8.60/hr. You work 32 hr/wk and your deductions are FICA (7.65%), federal tax withholding (10.6%), and state tax withholding (8.25%). How much do you have direct-deposited bi-weekly? (1 point)
$202.27 every two weeks

24. You are purchasing a house 12 years from now. The estimated purchase price is $171,600.00. You want to make a 20% down payment. How much do you need to save per month to reach your goal? (1 point)
$ 238.33/month

25. Using the information from Problem 24, if closing costs are 8.7%, how much additional money do you need to save per month to cover the additional expense? (1 point)
$103.68/month

26. You owe $2,264.96 on a credit card at a 14.7% APR. You pay $500.00/month. How many months does it take to pay off your balance? (You do not have to use the decimal places for this answer.) (1 point)
7 months

27. You owe $1,455.69 on a credit card at a 12.8% APR. You pay 15 days after the due date and the late fee is $35.00, making it 45 days of accrued interest. You pay $250.00. How much is your balance after the payment?
$438.25

Graph for 28 and 29
https://lh3.googleusercontent.com/-qbacfxyW7fA/VRrqS8hUeaI/AAAAAAAAFjg/_vSJfu-8tUk/w942-h373-no/Untitled.png

28. What is your current debt ratio as a percentage to the nearest hundredth?
.01

29. Which balance accrues the most interest in a month?
$2,249.80

For 30 and 31: You save $8,500.00. You place 40% in a savings account earning a 4.2% APR compounded annually and the rest in a stock plan. The stock plan decreases 3% in the first year and increases 7.5% in the second year.

30. What is the total gain at the end of the second year for both accounts combined?
$509.09

31. If you had invested 60% in the savings account and the rest in the stock plan, what is the difference in the total gain compared to the original plan?
$482.75

34. You earn $13.70/hr and work 40 hr/wk. Your deductions are FICA (7.65%), federal tax withholding (11.55%), and state tax withholding (8.35%). Your housing and fixed expenses are 30% of your realized income per month and you want to save 6 months' worth in an emergency fund. How much do you need to save?
$952.86

35. You have a realized income of $3,264.71/month. Your housing and fixed expenses are 36% of your monthly realized income. You want to save 4 months of an emergency fund within 9 months. How much must you save each month?
$208.94

36. Your friend wants to pay off his credit card with a balance of $880.00 and an interest rate of 16.65% APR by getting a loan from you. You agree to the loan, but insist your friend pay you interest of 3.25% APR. Your friend agrees. How much interest does your friend save at the end of the first month by paying you instead of the credit card?
$9.83

Answer 2

did you ever get these answers

Answer 3

Answers?

Answer 4

some of these answers are wrong....here is the test...
1. _____ is a financial term that denotes when an asset increases in value. (1 point)
Correct answer (1 pt) Appreciate
Unselected answer (0 pts) Growth
Unselected answer (0 pts) Increase
Unselected answer (0 pts) Depreciate
1 /1 point Evaluated for attendance purposes
2. The correct order for savings is _____. (1 point)
Unselected answer (0 pts) emergency fund, pay off credit card, and retirement fund
Unselected answer (0 pts) pay off credit card, retirement fund, and emergency fund
Correct answer (1 pt) pay off credit card, emergency fund, and retirement fund
Unselected answer (0 pts) retirement fund, emergency fund, and pay off credit card
1 /1 point
3. Which item is NOT a savings instrument? (1 point)
Correct answer (1 pt) checking account
Unselected answer (0 pts) savings account
Unselected answer (0 pts) CD
Unselected answer (0 pts) Treasury bond
1 /1 point
4. A _____ is the amount you pay for the purchase of a house that decreases the amount of the loan. (1 point)
Unselected answer (0 pts) closing payment
Unselected answer (0 pts) closing cost
Unselected answer (0 pts) origination payment
Correct answer (1 pt) down payment
1 /1 point
5. A tendency to avoid putting money into high-risk investments is known as being _____. (1 point)
Unselected answer (0 pts) saver
Correct answer (1 pt) risk-adverse
Unselected answer (0 pts) investment-adverse
Unselected answer (0 pts) conscientious saver
1 /1 point
6. Which item is the U.S. Treasury most known for issuing? (1 point)
Unselected answer (0 pts) CDs
Unselected answer (0 pts) savings notes
Correct answer (1 pt) bonds
Unselected answer (0 pts) investment notes
1 /1 point
7. Your ability to borrow money at lower rates improves as _____. (1 point)
Unselected answer (0 pts) you save more
Unselected answer (0 pts) you earn more
Unselected answer (0 pts) your debt ratio increases
Correct answer (1 pt) your credit score increases
1 /1 point
8. _____ improves as degree of educational attainment increases. (1 point)
Correct answer (1 pt) Median income
Unselected answer (0 pts) Borrowing rate
Unselected answer (0 pts) Interest rate
Unselected answer (0 pts) Savings ability
1 /1 point
9. When paying off credit card debt, it is best to pay off _____ cards first. (1 point)
Unselected answer (0 pts) high balance, low interest
Unselected answer (0 pts) low balance, low interest
Unselected answer (1 pt) high balance, high interest
Incorrect Answer (0 pts) low balance, high interest
0 /1 point
10. Which type of debt is often unsecured? (1 point)
Incorrect Answer (0 pts) mortgage
Unselected answer (0 pts) auto loan
Unselected answer (0 pts) boat loan
Unselected answer (1 pt) credit card
0 /1 point
11. Income and expenses are found on a _____. (1 point)
Unselected answer (1 pt) budget
Incorrect Answer (0 pts) income statement
Unselected answer (0 pts) expense statment
Unselected answer (0 pts) income flow statement
0 /1 point
12. When your income is more than your expenses, you have _____. (1 point)
Unselected answer (0 pts) a deficit
Incorrect Answer (0 pts) excess income
Unselected answer (1 pt) a surplus
Unselected answer (0 pts) appreciation
0 /1 point
13. If you are given a 4% raise and inflation is 1%, you are _____. (1 point)
Unselected answer (0 pts) making 4% more
Correct answer (1 pt) making 3% more
Unselected answer (0 pts) making 3% less
Unselected answer (0 pts) making 4% less
1 /1 point
14. Which is NOT a part of your budget? (1 point)
Unselected answer (0 pts) fixed expenses
Unselected answer (1 pt) gross pay
Incorrect Answer (0 pts) discretionary expenses
Unselected answer (0 pts) realized income
0 /1 point
15. To put money into a savings account, CDs, and stocks is to _____. (1 point)
Unselected answer (0 pts) be risk-adverse
Incorrect Answer (0 pts) invest
Unselected answer (0 pts) secure assets
Unselected answer (1 pt) diversify
0 /1 point
For questions 16–36, you will be answering by filling in the blanks. Please be aware that your answer must include any commas or decimals in their proper places in order to be correct. The dollar signs have been provided. For example, if the answer is $1,860.78, then you will enter into the blank 1,860.78. Do not place any extra spaces between numbers, commas, or decimal places. Round any decimals to the nearest penny when the answer involves money, so that $986.526 would be typed into the blank as 986.53 and $5,698.903 would be typed into the blank as 5,698.90.
16. ________________ hr/monthYou are paid $10.65/hr. Your deductions are FICA (7.65%), federal tax withholding (9.9%), and state tax withholding (7.35%). Your housing and fixed expenses are $493.68/month. How many hours per month must you work to be sure those expenses are paid? (Type as a whole number with no decimal places.) (1 point)
(1 pt) 62
Incorrect answer (0 pts) 65
0 /1 point
17. $ ________________ /monthYou are paid $15.60/hr. Your deductions are FICA (7.65%), federal tax withholding (11.15%), and state tax withholding (6.5%). You work 15 hr/wk and save 10% each week. How much do you save each month? (1 point)
(1 pt) 69.96
Correct answer (1 pt) 69.92
1 /1 point
18. $ ________________ /monthYou work a part-time job earning $6.80/hr with tips that average $2.30/hr. You work 20 hr/wk and your deductions are FICA (7.65%), federal tax withholding (8.95%), and state tax withholding (6.1%). How much are you allowed in housing expenses per month? (1 point)
(1 pt) 157.47
(1 pt) 157.57
Incorrect answer (0 pts) 562.74
0 /1 point
19. $ ________________ /monthYour housing and fixed expenses are $685.70/month. If they are 33% of your realized income, how much is your realized income per month? (1 point)
(1 pt) 2,077.88
Incorrect answer (0 pts) 459.42
0 /1 point
20. $ ________________You owe $2,875.59 on a credit card at a 13.7% APR. If you pay $400.00/month, what is the difference in the amount of interest accrued by the end of the month if you pay at the beginning of the month versus the end of the month? (1 point)
(1 pt) 4.57
Incorrect answer (0 pts) 2,537.50
0 /1 point
21. $ ________________You save $3,260.00 in a savings account earning a 3.55% APR compounded monthly. How much is the total interest earned by the end of the third month? (1 point)
Correct answer (1 pt) 29.01
(1 pt) 21.02
1 /1 point
22. $ ________________Your realized income is $36,864.00/yr. Your fixed and housing expenses are 32% and your savings are 15% of your realized income per month. How much discretionary money do you have, excluding savings, per month? (1 point)
Correct answer (1 pt) 1,628.16
1 /1 point
23. $ ________________ every two weeksYou earn $8.60/hr. You work 32 hr/wk and your deductions are FICA (7.65%), federal tax withholding (10.6%), and state tax withholding (8.25%). How much do you have direct-deposited bi-weekly? (1 point)
(1 pt) 404.54
Incorrect answer (0 pts) 202.27
0 /1 point
24. $ ________________ /monthYou are purchasing a house 12 years from now. The estimated purchase price is $171,600.00. You want to make a 20% down payment. How much do you need to save per month to reach your goal? (1 point)
Correct answer (1 pt) 238.33
1 /1 point
25. $ ________________ /monthUsing the information from Problem 24, if closing costs are 8.7%, how much additional money do you need to save per month to cover the additional expense? (1 point)
Correct answer (1 pt) 103.68
1 /1 point
26. ________________ monthsYou owe $2,264.96 on a credit card at a 14.7% APR. You pay $500.00/month. How many months does it take to pay off your balance? (You do not have to use the decimal places for this answer.) (1 point)
(1 pt) 5
Incorrect answer (0 pts) 7
0 /1 point
27. $ ________________You owe $1,455.69 on a credit card at a 12.8% APR. You pay 15 days after the due date and the late fee is $35.00, making it 45 days of accrued interest. You pay $250.00. How much is your balance after the payment? (1 point)
(1 pt) 1,263.66
Incorrect answer (0 pts) 438.25
0 /1 point
Use the following table to answer questions 28 and 29.

Credit Card

Interest Rate (APR)

Balance

Credit Limit

MarkedUp

9.65%

$458.90

$1,500.00

Cred

8.8%

$2,249.80

$2,500.00

BankLine

14.9%

$946.95

$4,000.00

28. What is your current debt ratio as a percentage to the nearest hundredth? (1 point)
(1 pt) 45.70
(1 pt) 45.70%
(1 pt) .46
Incorrect answer (0 pts) .01
0 /1 point
29. $ ________________Which balance accrues the most interest in a month? (1 point)
Correct answer (1 pt) 2,249.80
1 /1 point
Use the following scenario for questions 30 and 31.

You save $8,500.00. You place 40% in a savings account earning a 4.2% APR compounded annually and the rest in a stock plan. The stock plan decreases 3% in the first year and increases 7.5% in the second year.


30. $ ________________What is the total gain at the end of the second year for both accounts combined? (1 point)
(1 pt) 509.63
Incorrect answer (0 pts) 509.09
1 /1 point
31. $ ________________If you had invested 60% in the savings account and the rest in the stock plan, what is the difference in the total gain compared to the original plan? (1 point)
(1 pt) 73.12
Incorrect answer (0 pts) 482.75
0 /1 point
Use the document below to answer questions 32 and 33.

Labor Statistics
32. $ ________________ /wkIf you are female, what is the weekly median income difference between an associate’s degree: academic and a bachelor’s degree? (1 point)
Correct answer (1 pt) 165.00
(1 pt) 165
1 /1 point
33. $ ________________ /yrWhat is the yearly difference in median income at a master’s degree level for a female versus a male? (1 point)
(1 pt) 15,600.00
(1 pt) 15,600
Incorrect answer (0 pts) 14,400.00
0 /1 point
34. $ ________________You are paid $13.70/hr. You work 40 hr/wk and your deductions are FICA (7.65%), federal tax withholding (11.55%), and state tax withholding (8.35%). Your housing and fixed expenses are 30% of your realized income per month and you want to save 6 months worth in an emergency fund. How much do you need to save? (1 point)
(1 pt) 2,858.58
(1 pt) 2,858.59
Incorrect answer (0 pts) 952.86
0 /1 point
35. $ ________________ /monthYou have a realized income of $3,264.71/month. Your housing and fixed expenses are 36% of your monthly realized income. You want to save 4 months of an emergency fund within 9 months. How much must you save each month? (1 point)
(1 pt) 522.36
(1 pt) 522.35
Incorrect answer (0 pts) 208.94
0 /1 point
36. $ ________________Your friend wants to pay off his credit card with a balance of $880.00 and an interest rate of 16.65% APR by getting a loan from you. You agree to the loan, but insist your friend pay you interest of 3.25% APR. Your friend agrees. How much interest does your friend save at the end of the first month by paying you instead of the credit card? (1 point)
Correct answer (1 pt) 9.83
1 /1 point
Questions 37–40 are short answer questions. Each question is worth 6 points—you will receive 2 points for the correct answer and 4 points for a correct explanation of the process.
37. You owe $1,568.00 on a credit card with a limit of $2,200.00 at an interest rate of 11.3% APR. You pay $300.00/month until it is paid off. How many months does it take you to pay it off and how much is the total interest you paid?

Be sure to include in your response:
• the steps you followed to complete your computations
• the answers to the questions

(6 points)
Review Guidelines:
Sample Answer:

Month number
1
2
3
4
5
6
Beginning balance
$1,568.00
$1,282.77
$994.85
$704.22
$410.85
$114.72
Interest accrued
$14.77
$12.08
$9.37
$6.63
$3.87
$1.08
Total due
$1,582.77
$1,294.85
$1,004.22
$710.85
$414.72
$115.80
Amount paid
$300.00
$300.00
$300.00
$300.00
$300.00
$115.80
Ending balance
$1,282.77
$994.85
$704.22
$410.85
$114.72
$0.00

It takes 6 months to pay off the credit card. The total amount of interest paid is $47.80 ($14.77 + $12.08 + $9.37 + $6.63 + $3.87 + $1.08).
Essay:
1st month: $1,568.00 + 14.77 (interest) = $1582.77 - $300.00 = $1282.77
2nd month: $1,282.77 + 14.77 (interest) = $1297.54 - $300.00 = $ 997.54
3rd month: $ 997.54 + 14.77 (interest) = $1012.31 - $300.00 = $ 712.31
4th month: $ 712.31 + 14.77 (interest) = $ 727.08 - $300.00 = $ 427.08
5th month: $ 427.08 + 14.77 (interest) = $ 441.85 - $300.00 = $ 141.85
6th month: $ 141.85 + 14.77 (interest) = $ 156.62 - $156.62 = $ 0
6 /6 points
38. You earn $17.50/hr and work 40 hr/wk. Your deductions are FICA (7.65%), federal tax withholding (12.3%), and state tax withholding (6.2%). Your housing and fixed expenses are 30% of your realized income per month. You want to save 5 months' worth in an emergency fund within a year. How much do you need to save per month to fund the emergency fund, and how much discretionary money remains per month?

Be sure to include in your response:
• the steps you followed to complete your computations
• the answer to the two questions

(6 points)
Review Guidelines:
Sample Answer:

Gross pay per month = ($17.50/ hr)(40 hr/wk)(4 wk/month) = $2,800.00
Realized income per month = $2,800.00/month – $214.20/month – $344.40/month – $173.60/month = $2,067.80/month
Housing and fixed expenses per month = ($2,067.80/month)(0.3) = $620.34/month
Emergency fund (5 months worth) = ($620.34/month)(5 months) = $3,101.70
Monthly savings needed = $3,101.70 ÷ 12 months » $258.48/month
Discretionary monies remaining per month = $2,067.80/month – $620.34/month – $258.48/month = $1,188.98/month
You need to save $258.48/month for a year to fully fund your emergency fund and after the savings and fixed expenses, you have $1,188.98/month remaining for discretionary monies.
Essay:
$17.50 x 40 = $700.00 - $183.05 = $516.95 x 30% = $155.09 x 5 = $775.45/12 = $64.62

$700 x 7.65% = $53.55
$700 x 12.3% = $86.10 Total: $183.05
$700 x 6.2% = $43.40

You would need to save $64.62 per month for an emergency fund
$90.47 remains as discretionary money
6 /6 points
Use the labor statistics document for this problem.

Labor Statistics
39. You are a male who has a high school diploma. You plan to attend college and earn a bachelor’s degree. When you graduate from college, you get a job paying $40,780.00/yr. How much is the difference in your yearly median income from obtaining a bachelor’s degree? How does your pay once you graduate compare on a monthly basis to the median income degree level you obtained?

Be sure to include in your response:
• the answer to the original question
• the mathematical steps for solving the problem demonstrating mathematical reasoning


(6 points)
Review Guidelines:
Sample Answer:

Yearly median income (high school, no college, male) = ($616.00/wk)(52 wk/yr) = $32,032.00/yr
Yearly median income (bachelor’s degree, male) = ($1,001.00/wk)(52 wk/yr) = $52,052.00/yr
Difference in income because of bachelor’s degree = $52,052.00/yr – $32,032.00/yr = $20,020.00/yr
Monthly pay from job = $40,780.00/yr ÷ 12 months/yr » $3,398.33/month
Monthly median income (bachelor’s degree, male) = ($1,001.00/wk)(4 wk/month) = $4,004.00/month
Difference in income = $4,004.00/month – $3,398.33/month = $605.67/month
Your median income from obtaining a bachelor’s degree is $20,020.00/yr more, but your actual earnings are $605.67/month less than the median.
Essay:
Male with a high school diploma: $29.568.00 year
Male with a B.A.: $48.048.00 year

If your jobs pays $40,780.00, you will be making $7,268.00 less than the statistics state.
6 /6 points
40. You save $15,000.00. You place one-third in a savings account earning a 4.6% APR compounded annually. You then invest one quarter of the remaining balance in a 3-year U.S. Treasury bond earning a 5.2% APR compounded annually and the rest in a stock plan. Your stock plan increases in value 3% the first year, decreases 8% in value the second year, and increases 6% in value the third year. What are the balances for each account by the end of the third year and the total gain on your original saved amount?

Be sure to include in your response:
• the answer to the original question
• the mathematical steps for solving the problem demonstrating mathematical reasoning

(6 points)
Review Guidelines:
Sample Answer:

Saving account initial investment = ($15,000.00)(1/3) = $5,000.00
Savings account balance (end of year 1) = ($5,000.00)(1.046) = $5,230.00
Savings account balance (end of year 2) = ($5,230.00)(1.046) = $5,470.58
Savings account balance (end of year 3) = ($5,470.58)(1.046) » $5,722.23

Remaining money = $15,000.00 – $5,000.00 = $10,000.00
U.S. Treasury bond initial investment = ($10,000.00)(1/4) = $2,500.00
U.S. Treasury bond balance (end of year 1) = ($2,500.00)(1.052) = $2,630.00
U.S. Treasury bond balance (end of year 2) = ($2,630.00)(1.052) = $2,766.76
U.S. Treasury bond balance (end of year 3) = ($2,766.76)(1.052) » $2,910.63

Stock plan initial investment = $10,000.00 – $2,500.00 = $7,500.00
Stock plan balance (end of year 1) = ($7,500.00)(1.03) = $7,725.00
Stock plan balance (end of year 2) = ($7,725.00)(0.92) = $7,107.00
Stock plan balance (end of year 3) = ($7,107.00)(1.06) = $7,533.42

Total gain on savings = ($5,722.23 + $2,910.63 + $7,533.42) – $15,000.00 = $1,166.28

The balances at the end of the third year were $5,722.23 (savings account), $2,910.63 (U.S. Treasury bond), and $7,533.42 (stock plan). The total gained was $1,166.28.
Essay:
Savings Account
S = 15000/3 (1 + 0.046/1)^3\ = $5722.23 final

T = treasury bond
T = 10000/4(1+0.052/1)^3 = $2910.63 final

Stock:
$7500 and increases by 3% the first year.
7500 x 0.03 = 225
7500 + 225 = 7725

Second year it decreases by 8%:
7725 x .08 = 618
7725 - 618 = 7107

Increases by 6% the final year:
7107 x .06 = 426.42
7107+426.42 = 7533.42 final

Savings Account = $5722.23
Treasury Bond = $2910.63 - TOTAL: $16,166.38
Stock = $7533.42

$16,166.38 - $15,000 = 1166.38 total gain
6 /6 points