everfi test career prep questions & answers 2023

everfi test career prep questions & answers 2023Diversification is important in investing because... A. It helps you gain the highest rate of return despite any risks. B. It increases your overall risk, which guarantees that you will make more money. C. It helps you to balance your risk across different investment types. D. It ensures that you only make low-risk investments. C. It helps you to balance your risk across different investment types. The main trade-off that all investors must consider is: A. risk vs. return B. diversity vs. uniformity C. stocks vs. bonds D. income vs. cost A. risk vs. return Use the Rule of 72 to calculate how long it will take for your money to double if it's earning 6% in interest:___________ 12 Which of the following typically has the lowest fees or costs to use? A. Debit card B. Credit card C. Cash advance D. Payday loan A. Debit card Your credit history is tracked by ________, ________, and ________. Experian, Equifax and TransUnion Good credit is usually required for ___________, ___________, and _________. Getting a loan, Buying an apartment and Buying a car When buying a stock in a company, you are: A. investing in an index fund B.diversifying your portfolio C. buying a portion of a company D. loaning money to a company C. buying a portion of a company Borrowing a subsidized federal student loan means _________________________________. Government pays interest that accrues while a student is in school The period before you have to begin repaying your student loans is known as the _________________. Grace Period What type of bank account typically offers no interest? Checking Account Which statement is most correct when choosing to rent or buy a home? A. Rent a home because it is better than buying one. B. Rent a home only until you can afford to buy one. C. Buy a home because it is better than renting one. D. Buy or rent a home based on your individual circumstance. D. Buy or rent a home based on your individual circumstance. List 3-4 examples of types of savings vehicles. ____________, ____________, ___________, and ____________ 401(K), 403(B), Saving Account and Certificate of Deposition. What could damage your credit score? ______________, _____________, _____________ and _____________. Late Payments, Not Full Payments, Having Dept and Opening Lots of Credit Cards The form filed by students to receive federal financial aid for school is known as _________. FAFSA Use the table above to answer the following question: Asim earns $250 per month. Which statement below is most correct? A. Asim makes more than she spends. B. Asim spends more than she makes. C. Asim should save more in the future. D. Asim should stop saving in the future. B. Asim spends more than she makes. Which of the following typically have the highest fees? A. Online Bank B. Payday Lender C. Retail Bank D. Credit Union B. Payday Lender Name 3 advantages of federal student loans_______________________________, ______________________________, and __________________________. Lower Interest Rates, Fixed Rates and Loans cancelled if you die What is the best way to protect yourself against identity theft?_____________________ Strong Passcodes What are the responsibilities of a renter versus an owner? _____________________________, ___________________, and ________________. Follow Rules of Lease, Payment Dates and Time Period What are some things you should take into consideration when deciding to buy or lease a car? Name 5 ____________, ___________, _____________, __________, and _____________. Down Payment, Insurance, Mileage, Amount Each Month and Credit Score Which form is your employer required to send to you before you file your tax return? _______ W2 What is an annual fee?_______________________ Charges yearly Which of the following steps best protects your credit history if you suspect fraud? A. Contact the local police department and file a complaint B. Contact the chamber of commerce and close your bank account C. Contact the credit bureaus and report suspected fraud D. Contact the store where your credit card was used and request a refund C. Contact the credit bureaus and report suspected fraud Which piece of information is most useful to an identity thief? A. Your full name and address B. Your full name and date of birth C. Your full name and social security number D. Your full name and student ID number C. Your full name and social security number