Wise Practice Exam Questions and Answers Rated A+

Wise Practice Exam Questions and Answers Rated A+ If you are responsible for an accident, what type of auto insurance covers damage to your own vehicle? Collision Eric and Matt are young individuals with good credit histories. They both work at the same company and earn similar salaries. Matt took out a $6,000 loan for a vacation, while Eric borrowed $6,000 for a car. Who is likely to have a lower finance charge? Eric will pay less because the car serves as collateral for the loan. If you completed a four-year college degree, how much more money could you expect to earn compared to only having a high school diploma? About 70% more. Many savings programs are federally insured against loss. Which of the following is not? A bond issued by one of the 50 states 2 Who among the following would need the most life insurance if they all had the same take-home pay? A young single woman with two small children. Which of these financial instruments is not typically associated with spending? Certificate of deposit Which credit card user is likely to incur the highest annual finance charges if they all charge the same amount each year? Jessica, who pays only the minimum amount each month. Which statement is accurate? Banks and lenders share borrowers' credit histories with each other and are likely to know about missed loan payments. Doug needs to borrow $12,000 for college. Which of the following would not help reduce the finance charge rate? Attending a state college instead of a private college. 3 If you had a savings account at a bank, what is true about the interest earned? Income tax may be applied to the interest if your income is high enough. Who would suffer the most during prolonged periods of high inflation? Older people living on a fixed retirement income. What is true about sales taxes? They increase the cost of items you buy. Lindsay has saved $12,000 for college by working part-time. She plans to start college next year and needs all of her savings. Where is the safest place for her money? A bank savings account