Financial Math Study Cumulative Exam
Rated A+
A combination washer/dryer costs $1,179. New parts for this washer/dryer cost $211,
labor to repair it costs $553, and shipping it to and from a repair center costs $152. A
full warranty, which covers all aspects of repairing the washer/dryer, costs 30% of the
price of the washer/dryer. A limited warranty, which only covers labor costs, only costs
14% of the price of the washer/dryer. Assuming that the washer/dryer needs repairs
which include parts, labor, and shipping, which warranty is the better deal, and by how
much, rounded to the nearest dollar? - ANSWER-D
A lender estimates the closing costs on a home loan of $50,000 as listed below.
Closing Cost
Charge
Loan origination
$200
Title insurance
$530
Attorney's fees
$600
Appraisal
$265
Inspection
$575
Recording fees
$130
Escrow
$800
If the lender's good faith estimates are accurate, are they a reasonable amount for
closing costs? Why or why not? - ANSWER-C
An investor buys 400 shares of stock in a fund when the net asset value is $19.62 and
the offer price is $19.84. The investor sells these shares when the net asset value is
$43.19 and the offer price is $43.56. Determine the amount of profit the investor earns. -
ANSWER-D
Carmen buys 153 shares of Cawh Consolidated Banks, each of which pays a constant
yearly dividend of $7.14. After six years, how much has Carmen received in dividends?
- ANSWER-D
Clovis wants to make a surprise visit to his uncle who lives out of town. He purchases
an airline ticket for $69. There is a 15% sales tax on the price of the airline ticket. In
addition he must pay a baggage fee of $20. When he arrives at the airport, Clovis takes
a taxi to his uncle's house which is 8 miles from the airport. The taxi fee is $2.50 per
, mile. If Clovis has spent a total of $123.35 for the airline ticket and taxi, at what percent
of his fare did Clovis tip the taxi driver? - ANSWER-C
Consider today's stock listing for Rayje Clothiers, shown below.
52 wk High
52 wk Low
Symbol
Div.
Close
Net Change
225.80
169.96
RAJ
25.10
200.43
13.74
Today, you sold the 459 shares of Rayje Clothiers that you purchased yesterday. How
much profit did you make? - ANSWER-D
Determine the total annual FICA tax for an annual salary of $38,480. - ANSWER-D
Dominic is looking over his spending pattern for the past week to try to determine how
much money he had on Sunday. This is Dominic's spending pattern:
Day
Debit ($)
Credit ($)
Monday
158
---
Tuesday
69
44
Wednesday
175
---
Thursday
131
38
Friday
---
53
Saturday
22
14
If the bank charges Dominic an overdraft fee of $25 every time he overdraws his
account, and Dominic overdrew his account on Thursday but not on Saturday, which of
Rated A+
A combination washer/dryer costs $1,179. New parts for this washer/dryer cost $211,
labor to repair it costs $553, and shipping it to and from a repair center costs $152. A
full warranty, which covers all aspects of repairing the washer/dryer, costs 30% of the
price of the washer/dryer. A limited warranty, which only covers labor costs, only costs
14% of the price of the washer/dryer. Assuming that the washer/dryer needs repairs
which include parts, labor, and shipping, which warranty is the better deal, and by how
much, rounded to the nearest dollar? - ANSWER-D
A lender estimates the closing costs on a home loan of $50,000 as listed below.
Closing Cost
Charge
Loan origination
$200
Title insurance
$530
Attorney's fees
$600
Appraisal
$265
Inspection
$575
Recording fees
$130
Escrow
$800
If the lender's good faith estimates are accurate, are they a reasonable amount for
closing costs? Why or why not? - ANSWER-C
An investor buys 400 shares of stock in a fund when the net asset value is $19.62 and
the offer price is $19.84. The investor sells these shares when the net asset value is
$43.19 and the offer price is $43.56. Determine the amount of profit the investor earns. -
ANSWER-D
Carmen buys 153 shares of Cawh Consolidated Banks, each of which pays a constant
yearly dividend of $7.14. After six years, how much has Carmen received in dividends?
- ANSWER-D
Clovis wants to make a surprise visit to his uncle who lives out of town. He purchases
an airline ticket for $69. There is a 15% sales tax on the price of the airline ticket. In
addition he must pay a baggage fee of $20. When he arrives at the airport, Clovis takes
a taxi to his uncle's house which is 8 miles from the airport. The taxi fee is $2.50 per
, mile. If Clovis has spent a total of $123.35 for the airline ticket and taxi, at what percent
of his fare did Clovis tip the taxi driver? - ANSWER-C
Consider today's stock listing for Rayje Clothiers, shown below.
52 wk High
52 wk Low
Symbol
Div.
Close
Net Change
225.80
169.96
RAJ
25.10
200.43
13.74
Today, you sold the 459 shares of Rayje Clothiers that you purchased yesterday. How
much profit did you make? - ANSWER-D
Determine the total annual FICA tax for an annual salary of $38,480. - ANSWER-D
Dominic is looking over his spending pattern for the past week to try to determine how
much money he had on Sunday. This is Dominic's spending pattern:
Day
Debit ($)
Credit ($)
Monday
158
---
Tuesday
69
44
Wednesday
175
---
Thursday
131
38
Friday
---
53
Saturday
22
14
If the bank charges Dominic an overdraft fee of $25 every time he overdraws his
account, and Dominic overdrew his account on Thursday but not on Saturday, which of
