A trust has the purpose of: |
managing the assets of a person |
The CCCS aids families by: |
setting up a budget for them. |
Which of the following is a disadvantage of using credit? |
(It Is NOT “The use of credit allows for the purchase of goods even when funds are low”) |
If you have a problem with your creditor, the best solution is to: |
solve your problem directly with the creditor. |
If you think that your bill is wrong, you should first: |
(It Is NOT “contact the local credit bureau and inform it of the billing error”) |
Which bankruptcy allows a debtor with a regular income to extinguish his or her debts from future earnings or other property over a period of time? |
Chapter 13 |
An all-purpose account that provides several services is a(n): |
asset management account. |
Which of the following is a deposit institution? |
A credit union |
Jake Skinner purchases a big screen TV on credit and will repay the loan with one payment at the end of 90 days. What type of credit did Jake use? |
Single lump sum credit |
Based on the following information, what amount would be subtracted from the bank balance side of a checking account reconciliation? Service charge $12, Outstanding checks $145, Interest $3.50, Deposit in transit $80 |
(It Is NOT “$157”) |
In a Chapter 7 bankruptcy, a debtor: |
is required to draw up a petition listing all assets and liabilities. |
Debt-to-equity ratio is: |
calculated by dividing total liabilities by net worth. |
If creditors add finance charges after subtracting payments made during the billing period, this is called the: |
adjusted balance method. |
An account at a commercial bank designed for people who want to earn a higher savings rate is a(n) __________ account. |
(It Is NOT “regular savings account”) |
Which of the following is NOT a source that provides data to credit bureaus? |
Internal Revenue Service |
A certificate of deposit usually has: |
limited liquidity. |
If creditors give you no credit for payments made during the billing period, this is called the: |
previous balance method. |
If you borrow $100 at 10 percent simple annual interest and repay it in one lump sum at the end of one year, you will have to pay: |
$110. |
If your monthly net (after-tax) income is $1,500, what should be your maximum amount spent on credit payments? |
$300 |
Kathy purchased a $2,000 digital TV from Young’s Appliances. She will make 12 equal payments over the next year to pay for it. She is using: |
closed-end credit. |