Final exam 1
What is the primary purpose of creating a personal life plan document?
To provide a flexible roadmap for personal goals and development
What is a common benefit of having health insurance?
Protection against high medical costs
What does the term 'credit score' refer to?
A measure of creditworthiness
What is the main risk associated with using credit cards?
Overspending and debt accumulation
Which of the following is a key factor in determining your credit score?
Length of credit history
What is the primary purpose of a budget?
To track expenses
Which term refers to the total amount of money earned before any deductions?
Gross income
Which of the following is NOT typically a paycheck deduction?
Rent payment
Which of the following best describes 'net income'?
Income after all deductions
What is a common reason for paycheck deductions?
To fund retirement accounts
Which form is used to determine the amount of federal income tax withheld from your paycheck?
W-4
What is the purpose of an emergency fund?
To cover unexpected expenses
she talks over you and will not allow you to respond
What is aggressive
What is a common characteristic of a high-deductible health plan?
High out-of-pocket costs
What is the primary purpose of a W-4 form?
To determine tax withholding from your paycheck
What is typically included in a paycheck deduction?
Federal tax
Which of the following is an advantage of entrepreneurship?
Flexible work hours
What is the primary function of a checking account?
To manage daily transactions
What does 'diversifying investments' mean?
Investing in different asset types
What does FICA stand for on a paycheck deduction?
Federal Insurance Contributions Act
Which of the following is a key difference between credit and debit cards?
Credit cards allow borrowing, debit cards use existing funds
What values influence our behavior regarding the use of financial assets?
Varied responses:
freedom, generosity, and stability, good money management.
How can you protect yourself from fraudulent claims by producers or sellers? List 4.
1. Guard your online information · 2. Monitor your accounts · 3. Business Email Compromise · 4. Shred sensitive documents. 5. check your credit report.
What are the benefits of having a good financial reputation? What are the consequences of having a poor financial reputation?
Trust, credibility, opportunities to succeed.
Damaged credit, mistrust, Inability to get credit.
What communication skills are important in recognizing the needs of family members at different stages of the life cycle?
It's characterized by openness, honesty, empathy, and respect. Healthy communication involves family members actively listening to and understanding each other while openly and honestly expressing their thoughts, feelings, and needs