Wise Practice Test Questions with 100% Verified
Answers Graded A+
budget variance. - ANSWER -the difference
between the budgeted amount and the actual
amount that you spend variable expenses - ANSWER -change from
one period to another,examples Electricity and
food expenditures
debt ratio - ANSWER -shows the
relationship between debt and net worth.
get advice from your friends - ANSWER -
will help you the least in managing your money?
debt ratio - ANSWER -The lower the ratio
the better off financially the person is.
Financial planning - ANSWER -the process
of developing and implementing a coordinated
series of actions to achieve financial success.
debt ratio - ANSWER -calculated by
dividing liabilities by net worth
Financial planning - ANSWER -need to be
reviewed and adjusted to accommodate
excise tax - ANSWER -government changing needs and goals.
imposes a tax on specific goods and services
such as alcohol, cigarettes, gasoline, and airline
emergency fund - ANSWER -Should be an
important consideration when saving money
capital gains - ANSWER -are profits made
from the sale of capital assets such as stocks
and bonds
liquidity - ANSWER -being in cash or easily
convertible to cash, How easily an asset can be
converted into cash
Capital gains - ANSWER -tax deferred until
the asset is sold,
Social Security - ANSWER -benefits
depends on the person?s earnings over a lifetime
Capital Gains Tax - ANSWER -If held over of work
one year are considered long-term capital gains
and are taxed at a lower tax rate or in some
cases are not taxed at all.
Department store charge cards. -
1/7
, Wise Practice Test Questions with 100% Verified
Answers Graded A+
ANSWER -open-end credit used to secure a loan. In the case of a mortgage,
the actual house or apartment serves as the
collateral for that loan.
Department store charge cards. -
ANSWER -is a revolving live of credit that
is offered by banks There is a limit set on the line bankruptcy - ANSWER -will appear on the
of credit and the funds person?s credit report for 10 years
mortgage loan - ANSWER -closed-end Notify the credit card companies in order to
credit,made at a specified interest rate for a negotiate a new payment plan. - ANSWER -
specified time period. Notify the credit card companies in order to
negotiate a new payment plan.
collateralized loan. - ANSWER -A loan that
is secured by collateral, properties or assets that Installment loan - ANSWER -a loan repaid
are subject to seizure on default. with interest in equal periodic payments
collateralized loan. - ANSWER -When a dispose of a credit card - ANSWER -Cut up
person brings an item to a pawnshop to obtain the card, put parts in different garbage bags, and
cash, the transaction is considered instruct the credit card company in writing or by
phone to close the account
Federal Housing Administration (FHA) loan -
ANSWER -insures lenders who make Garnishment - ANSWER -Occurs when a
mortgage loans that are riskier than regular bank creditor obtains a court order requiring an
loans because employer to attach an employee's earnings in
order to pay back a debt.
uncollateralized loan - ANSWER -A
personal loan without assets to cover the loan rate of inflation - ANSWER -determines the
amount. time value of depositing into a savings account,
and the interest rate and
Collateral - ANSWER -tangible asset that is
2/7
Answers Graded A+
budget variance. - ANSWER -the difference
between the budgeted amount and the actual
amount that you spend variable expenses - ANSWER -change from
one period to another,examples Electricity and
food expenditures
debt ratio - ANSWER -shows the
relationship between debt and net worth.
get advice from your friends - ANSWER -
will help you the least in managing your money?
debt ratio - ANSWER -The lower the ratio
the better off financially the person is.
Financial planning - ANSWER -the process
of developing and implementing a coordinated
series of actions to achieve financial success.
debt ratio - ANSWER -calculated by
dividing liabilities by net worth
Financial planning - ANSWER -need to be
reviewed and adjusted to accommodate
excise tax - ANSWER -government changing needs and goals.
imposes a tax on specific goods and services
such as alcohol, cigarettes, gasoline, and airline
emergency fund - ANSWER -Should be an
important consideration when saving money
capital gains - ANSWER -are profits made
from the sale of capital assets such as stocks
and bonds
liquidity - ANSWER -being in cash or easily
convertible to cash, How easily an asset can be
converted into cash
Capital gains - ANSWER -tax deferred until
the asset is sold,
Social Security - ANSWER -benefits
depends on the person?s earnings over a lifetime
Capital Gains Tax - ANSWER -If held over of work
one year are considered long-term capital gains
and are taxed at a lower tax rate or in some
cases are not taxed at all.
Department store charge cards. -
1/7
, Wise Practice Test Questions with 100% Verified
Answers Graded A+
ANSWER -open-end credit used to secure a loan. In the case of a mortgage,
the actual house or apartment serves as the
collateral for that loan.
Department store charge cards. -
ANSWER -is a revolving live of credit that
is offered by banks There is a limit set on the line bankruptcy - ANSWER -will appear on the
of credit and the funds person?s credit report for 10 years
mortgage loan - ANSWER -closed-end Notify the credit card companies in order to
credit,made at a specified interest rate for a negotiate a new payment plan. - ANSWER -
specified time period. Notify the credit card companies in order to
negotiate a new payment plan.
collateralized loan. - ANSWER -A loan that
is secured by collateral, properties or assets that Installment loan - ANSWER -a loan repaid
are subject to seizure on default. with interest in equal periodic payments
collateralized loan. - ANSWER -When a dispose of a credit card - ANSWER -Cut up
person brings an item to a pawnshop to obtain the card, put parts in different garbage bags, and
cash, the transaction is considered instruct the credit card company in writing or by
phone to close the account
Federal Housing Administration (FHA) loan -
ANSWER -insures lenders who make Garnishment - ANSWER -Occurs when a
mortgage loans that are riskier than regular bank creditor obtains a court order requiring an
loans because employer to attach an employee's earnings in
order to pay back a debt.
uncollateralized loan - ANSWER -A
personal loan without assets to cover the loan rate of inflation - ANSWER -determines the
amount. time value of depositing into a savings account,
and the interest rate and
Collateral - ANSWER -tangible asset that is
2/7
