EDMENTUM PERSONAL FINANCE EXAM
STUDY GUIDE 2026 COMPLETE QUESTIONS
AND SOLUTIONS GRADED A+
⩥ From the time she was a little girl, Francine has always had a gift for
running a business. She made a very profitable lemonade stand when she
was 8 and started selling bracelets to her friends when she was 12. She
has a business plan for a company she wants to start as soon as she
graduates high school. What does Francine's behavior demonstrate?
A.
entrepreneurial ability
B.
lens of scarcity
C.
the law of supply and demand
D.
global trade. Answer: A.
entrepreneurial ability
⩥ A market economy has several benefits, but it also has some
drawbacks. What is one negative effect a market economy can produce?
A.
It creates extreme divisions between the wealthy and the poor.
, B.
It lets many workers choose where they want to be employed.
C.
Goods and services are only produced for uses planned by the
government.
D.
The lack of competition means that consumers have fewer choices..
Answer: A.
It creates extreme divisions between the wealthy and the poor.
⩥ Which financial service offers credit opportunities that can be short-
term or offered over an extended period of time and are used for big
things like home mortgages, automobiles, home improvements,
education, medical expenses, or travel?
A.
payment services
B.
loans
C.
savings
D.
financial planning. Answer: B.
loans
STUDY GUIDE 2026 COMPLETE QUESTIONS
AND SOLUTIONS GRADED A+
⩥ From the time she was a little girl, Francine has always had a gift for
running a business. She made a very profitable lemonade stand when she
was 8 and started selling bracelets to her friends when she was 12. She
has a business plan for a company she wants to start as soon as she
graduates high school. What does Francine's behavior demonstrate?
A.
entrepreneurial ability
B.
lens of scarcity
C.
the law of supply and demand
D.
global trade. Answer: A.
entrepreneurial ability
⩥ A market economy has several benefits, but it also has some
drawbacks. What is one negative effect a market economy can produce?
A.
It creates extreme divisions between the wealthy and the poor.
, B.
It lets many workers choose where they want to be employed.
C.
Goods and services are only produced for uses planned by the
government.
D.
The lack of competition means that consumers have fewer choices..
Answer: A.
It creates extreme divisions between the wealthy and the poor.
⩥ Which financial service offers credit opportunities that can be short-
term or offered over an extended period of time and are used for big
things like home mortgages, automobiles, home improvements,
education, medical expenses, or travel?
A.
payment services
B.
loans
C.
savings
D.
financial planning. Answer: B.
loans
