1) A check with a blank endorsement contains only the payee’s signature on the back.
2) A stock with a beta of over 1 is considered more risky than the stock market as a
whole.
3) Under the continuous-debt method of determining whether you are carrying too
much debt you should be able to get out of all debt except mortgage debt completely
within four years.
4) Many people do not examine their insurance policies until they suffer a loss.
5) Switching between mutual funds in the same family of funds may involve an
exchange fee.
6) Mutual fund dividends are paid out of the profits a mutual fund earns on its
investments.
7) A cash-balance plan is a defined-benefit plan that gives each participant an
interest-earning account credited with a percentage of pay on a monthly basis.
8) The losses of common stockholders are limited to the amount of their investment in
the corporation.
9) Coverage that appears to be provided in one part of a policy may be denied
elsewhere in the same policy.
10) A joint account that gives each owner access to the account (without the other’s
signature) is called a joint tenancy account with right of survivorship.
11) Social Security taxes withheld from an employee’s paycheck are commonly called
FICA taxes.
12) Obtaining money via a credit card cash advance is a low-cost alternative if you need
a loan.
13) All stocks pay dividends.
14) A life insurance policy irrevocably lapses when the premium is not paid by the
stated due date.
15) Risk avoidance is always a practical way of handling risk.
16) A taxpayer must purchase replacement property to avoid paying taxes on capital
gains on the sale of his or her home.