Wise Test Review questions with correct answers

When making a list of your liabilities a person should include: Answer mortgage loan Money in the form of cash or currency acts as a: Answer medium of exchange If a person has a $1,000 line of credit, the person can charge: Answer up to $1,000 on the credit card A benefit of buying term life insurance as opposed to whole life insurance is that term insurance usually: Answer offers a greater amount of insurance coverage for a specific period of time at a lower cost Which of the following statements is true about a person who owns real estate, bonds and stocks and has a savings account? Answer he has a diversified financial portfolio In order to live on a monthly budget, a person should Answer Be responsible and use restraint The $25,000 that a person won on a TV game show is considered Answer windfall income If you have a $500 deductible on your car insurance and you have a wreck that causes $4,000 in damage to your car, how much will the insurance company pay? Answer $3,500