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CCR Final Exam Study Guide Questions
with Detailed Verified Answers
Question:Which should you use when creating a budget - your NET PAY or
GROSS PAY?
Ans: Net pay, because it's the total amount you've earned minus taxes and
other deductions
Question: How can you improve your credit score?
Ans: Pay all of your bills on time
Question: Which of the following is a method of accessing the money in your
checking account?
Ans: Insert your debit card at a store and sign the electronic machine or paper
receipt
Question: In order to qualify for financial aid, prospective college students
must file their _____________.
Ans: FAFSA
Question: When making a decision about a financial product (loan, savings
account, credit card, etc.), which of these pieces of advice is LEAST valuable?
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Ans: Simply choose the option that your parents use
Question: Which of the following will result in you paying the LARGEST
amount of interest to the credit card company?
Ans: Making the minimum payment every month
Question: When it comes to paying for college, your best option is...
Ans: A grant or scholarship, because you don't repay them
Question: Which of the following statements about car insurance is TRUE?
Ans: If you have insurance and are pulled over for speeding, you won't get
"points" on your license.
Question: Which of the following people is MOST likely to be a victim of
identity theft?
Ans: Chelsea, who regularly checks her bank account balance while connected
to the WiFi at her local cafe
Question: Which description of the difference between saving and investing is
MOST accurate?
Ans: Savings accounts provide a stated rate of return that is less risky. On the
other hand, investors do not know what their return will be, making investing
riskier.
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Question: Anna receives her first paycheck and realizes that her take-home
pay is substantially less than the rate she was offered when hired. Which of
the following would help explain this problem?
Ans: Taxes, social security, and Medicare are being deducted from her pay.
Question: Each of the following is a benefit of using online and mobile
banking EXCEPT..
Ans: You can eliminate overdraft fees.
Question: Angelo has a savings account worth $1000 that earns 2% interest, a
student loan of $40,000 that charges 4.6% interest, and a credit card bill that
has $1500 on it with a 23.4% interest rate. He has a budget surplus of $300 at
the end of the month. What should he do with the $300?
Ans: Pay it toward his credit card bill, because it has the highest interest rate
Question: Which one of the following strategies will result in your paying NO
interest to the credit card company?
Ans: Paying off your entire balance every month by the due date
Question: Isaiah works at a technology company in the summer and earns
$3000. After federal, state, and Social Security/Medicare taxes are deducted,
his take-home pay is $2,500. Which of the statements below is CORRECT?
Ans: His gross pay is $3,000 and net pay is $2,500.
CCR Final Exam Study Guide Questions
with Detailed Verified Answers
Question:Which should you use when creating a budget - your NET PAY or
GROSS PAY?
Ans: Net pay, because it's the total amount you've earned minus taxes and
other deductions
Question: How can you improve your credit score?
Ans: Pay all of your bills on time
Question: Which of the following is a method of accessing the money in your
checking account?
Ans: Insert your debit card at a store and sign the electronic machine or paper
receipt
Question: In order to qualify for financial aid, prospective college students
must file their _____________.
Ans: FAFSA
Question: When making a decision about a financial product (loan, savings
account, credit card, etc.), which of these pieces of advice is LEAST valuable?
, Page | 2
Ans: Simply choose the option that your parents use
Question: Which of the following will result in you paying the LARGEST
amount of interest to the credit card company?
Ans: Making the minimum payment every month
Question: When it comes to paying for college, your best option is...
Ans: A grant or scholarship, because you don't repay them
Question: Which of the following statements about car insurance is TRUE?
Ans: If you have insurance and are pulled over for speeding, you won't get
"points" on your license.
Question: Which of the following people is MOST likely to be a victim of
identity theft?
Ans: Chelsea, who regularly checks her bank account balance while connected
to the WiFi at her local cafe
Question: Which description of the difference between saving and investing is
MOST accurate?
Ans: Savings accounts provide a stated rate of return that is less risky. On the
other hand, investors do not know what their return will be, making investing
riskier.
, Page | 3
Question: Anna receives her first paycheck and realizes that her take-home
pay is substantially less than the rate she was offered when hired. Which of
the following would help explain this problem?
Ans: Taxes, social security, and Medicare are being deducted from her pay.
Question: Each of the following is a benefit of using online and mobile
banking EXCEPT..
Ans: You can eliminate overdraft fees.
Question: Angelo has a savings account worth $1000 that earns 2% interest, a
student loan of $40,000 that charges 4.6% interest, and a credit card bill that
has $1500 on it with a 23.4% interest rate. He has a budget surplus of $300 at
the end of the month. What should he do with the $300?
Ans: Pay it toward his credit card bill, because it has the highest interest rate
Question: Which one of the following strategies will result in your paying NO
interest to the credit card company?
Ans: Paying off your entire balance every month by the due date
Question: Isaiah works at a technology company in the summer and earns
$3000. After federal, state, and Social Security/Medicare taxes are deducted,
his take-home pay is $2,500. Which of the statements below is CORRECT?
Ans: His gross pay is $3,000 and net pay is $2,500.
