Test Bank for Introduction to Personal Finance; Beginning Your Financial Journey, 3rd Edition (Wiley, 2024) by Grable and Palmer, Isbn no; 9781394244003, (Chapters 1-10) Complete Study Guide!!!!!!!!

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Introduction4to4Personal4Finance4Beginning4Your4Financial4Journey,43rd4Edition4John4E.4Grable,4La

nce4Palmer
Chapter41-10

Chapter41 Beginning4Your4Financial4Journey:4The4Interior4Finance4Point4of4View

1) Which4of4the4following4refers4to4one's4ability4to4understand4and4use4personal4financ
e4information?
A) Financial4risk4tolerance.
B) Financial4well-being.
C) Financial4knowledge.
D) Financial4ability.
4Answer:4 C
Explanation:4 Financial4knowledge4is4the4ability4to4understand4personal4finance4information.4Know
ing4who4you4are,4where4you4want4to4go,4and4what4skills4you4currently4possess4are4essential4factors4s
haping4your4financial4journey.
Diff:41
LO:4 1.1,4Section41.1
4Bloom:4 K
AACSB4/4IMA:4 none;4none
4AICPA:4 FC:4none
Min:4 4 1


2) People4who4believe4that4what4happens4to4them4is4based4on4fate4or4luck4might4view4their4financi
al4journey4as4being4uncertain.4This4is4an4example4of
A) financial4risk4tolerance.
B) financial4literacy.
C) feelings4of4control.
D) financial4ability.
4Answer:4 C
1

,Explanation:4 Feelings4of4control4is4the4amount4of4control4you4feel4you4have4when4making4fina
ncial4decisions.4People4who4believe4that4what4happens4to4them4is4based4on4luck4or4fate4might4vi
ew4their4financial4journey4as4uncertain.
Diff:41
LO:4 1.1,4Section41.1
4Bloom:4 C
AACSB4/4IMA:4 none;4none
4AICPA:4 FC:4none
Min:4 4 1




2

,3) Internal4finance4includes4your
A) financial4knowledge.
B) financial4risk4tolerance.
C) feelings4of4control.
D) All4of4these4answer4choices4are4correct
.4Answer:4 D
Explanation:4 Internal4finance4is4essentially4the4combination4of4financial4knowledge,4financial4ri
sk4tolerance,4and4feelings4of4control.
Diff:41
LO:4 1.1,4Section41.1
4Bloom:4 K
AACSB4/4IMA:4 none;4none
4AICPA:4 FC:4none
Min:4 4 1


4) Which4of4the4following4refers4to4your4confidence4and4peace4of4mind4regarding4your4financi
al4situation?
A) Financial4literacy.
B) Financial4well-being.
C) Financial4knowledge.
D) Financial4ability.
4Answer:4 B
Explanation:4 Financial4well-
being4is4your4confidence4and4peace4of4mind4regarding4your4financial4situation.4Your4financial4we
ll-
being4will4increase4as4you4apply4your4financial4knowledge,4develop4skills,4and4organize4your4fin
ances4to4achieve4your4personal4goals.
Diff:42
LO:4 1.1,4Section41.14
Bloom:4 C
AACSB4/4IMA:4 none;4none
4AICPA:4 FC:4none

3

, Min:4 4 1


5) In4addition4to4financial4knowledge,4which4of4the4following4is4important4in4shaping4your4view4
of4the4financial4world?
A) Financial4risk4tolerance,4only.
B) Feelings4of4control,4only.
C) Financial4well-being4only.
D) Financial4risk4tolerance4and4feelings4of4control
.4Answer:4 D
Explanation:4 Our4financial4decisions4can4be4based4on4a4biased4view4of4the4financial4world,4whic
h4is4based4on4the4combination4of4our4financial4knowledge,4financial4risk4tolerance,4and4feelings4
of44control.
Diff:42
LO:4 1.1,4Section41.1
4Bloom:4 C
AACSB4/4IMA:4 none;4none
4AICPA:4 FC:4none
Min:4 4 1




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