1)
A ____________ resume presents a person’s education, work experience, and other
information in a reverse time-sequence.
A.goal-oriented
B.functional
C.chronological
D.targeted
E.data base
2)
A cost associated with renting would be:
A.property insurance.
B.maintenance costs.
C.title insurance.
D.security deposit.
E.points.
3)
A home equity loan may also be referred to as a ____________ mortgage.
A.shared-appreciation
B.graduated-payment
C.growing-equity
D.second
E.buy-down
4)
Starting a small business that may or may not succeed is an example of ___________
risk.
A.speculative
B.pure
C.commercial
D.personal
E.liability
5)
Which of the following is an advantage of an exchange traded fund (ETF)?
A.No minimum investment amount
B.Buying and selling shares through a broker at any time at the current market price
C.Low management fees
D.Using limit orders to both buy and sell
E.All of these are advantages of ETFs.
6)
Exchange-traded funds, commonly referred to as ETFs, are funds that invest in the
stocks contained in the following stock or securities index(es):
A.midcap stocks.
B.small-cap stocks.
C.fixed-income securities.
D.commodities.
E.All of these are correct.
7)
The following are examples of intangible goals, except:
A.obtaining a college degree.
B.going on a cruise vacation.
C.buying a house.
D.losing weight.
E.getting more sleep.
8)
The federal government requires corporations selling new issues of securities to
disclose information about itself in a prospectus. Which of the following must be
disclosed?
A.Corporate earnings
B.Assets and liabilities
C.Products or services
D.Qualifications of top management
E.All of these must be disclosed.
9)
Most people select a place of residence based on the following criteria:
A.lifestyle.
B.needs.
C.financial resources.
D.attitudes.
E.All of these.
10)
A tax on the value of automobiles, boats, or furniture is referred to as:
A.inheritance tax.
B.estate tax.
C.personal property tax.
D.excise tax.
E.general sales tax.
11)
CCCS counseling is:
A.quite costly.
B.usually free.
C.often useless.
D.fraught with red tape.
12)
While many exceptions exist, the average load charge for mutual funds ranges between
what percent of the purchase price?
A.1-3
B.2-4
C.3-5
D.4-6
E.5-7
13)
All of the following information is contained in a mutual fund’s fee table, except:
A.expected return on investment.
B.management fees.
C.contingent deferred sales fees.
D.12b-1 fees.
E.redemption fees.
14)
You are given the choice of $4,000 in extra taxable income per year or a tax-exempt
medical policy. The medical policy costs $300 per month. Your tax rate is 25%.
Considering financial factors only, should you take the cash or the medical policy?
Explain your decision.
15)
Distinguish between an implied warranty and an express warranty.
16)
A low market-to-book ratio (less than 1) could indicate that a stock is undervalued.
TRUE
17)
Suzanne is beginning to think she needs to find a new job. She is happy with her
present salary and job duties, and has a large corner office with a wonderful view of the
city. In spite of this, she dreads going to work each day. Discuss four reasons that may
be to blame for her dissatisfaction at work.
18) In what ways can a bond investor make money?
19)
Over many years, the majority of managed mutual funds outperform the Standard &
Poor’s stock index.
FALSE