Imagine Your Future
You have just got your first job at age 22. You know the salary is $50,000. Why should you ask about the employee benefits?
To ensure that you know the value of the benefits. So you can ensure that you wouldn't need to pay for health insurance on your own.
What is the connection between risk and return in investments (stocks, bonds, etc)?
Higher risk investments tend to have higher returns.
Lower risk investments tend to have lower returns.
Why is Mr. Joy a teacher?
All the free pencils he can steal.
You have just moved into your first apartment at age 23. Why should you get renter's insurance?
What is "ensure that you do not need to pay out of pocket to replace your possessions if they are destroyed?"
Provide a short-term, medium term, and long-term financial goal
Short term: concert tickets/cell phone
Medium term: car/college tuition
Long term: retirement/house
How many of Mr. Joy's cousins teach at SOMOS?
4 (Mr. Gray, Mr. Bullis, Mr. Wyatt, and Mr. Gallagher)
You are 130 years old and about to die. Why should you do your estate planning?
Ensure your loved ones are provided for, leave less work for those who've survived, and maybe even leave a gift to charity.
What is the connection between your credit score and the interest rate you are likely to get on a loan?
A higher credit score will get you a lower interest rate because you are less risky to the bank so they will reward you.
A lower credit score will get you a higher interest rate because you are risky to the bank so they will charge you more to try and ensure they get their money back.
How many years has Mr. Joy been an educator?
27 years. I've been enlightening people since the day I was born.
At 25 years old, you are planning how to divide your investments between stocks and bonds. Provide an asset allocation (with percentages) and give one reason why you picked this allocation.
What is 75% stocks and 25% stocks because stocks provide a larger return?
What is 75% bonds and 25% stocks because bonds provide guaranteed income in the form of interest?
Why would it be better to contribute money to a 401k with employer matching than to an IRA?
401ks with employer matching offer free money in terms of employer matching that an IRA does not offer.
What will Mr. Joy do after he leaves SOMOS for another job?
cry
You are going away to college in the fall. Provide at least two reasons why you should get federal loans rather than private loans.
Private student loans are less likely to be eligible for forgiveness
Federal loan interest rates are typically lower than those of private loans
Private student loans sometimes charge a fee for paying off loans early
A storm rolls into town destroying all of the cucumber plants. The supply curve for cucumbers will shift to the ______.
A new invention cuts the cost of producing cucumbers in half. The supply curve for cucumbers will shift to the ______.
left, right
What did Mr. Joy get on the AP US Government exam in high school?
You already know