Wise test questions & answers 2024
An individual, who earns $36,000 a year, has total assets of $156,000 and liabilities of $85,000. The net worth of this individual is - ANSWER-$71,000
Net Worth = Assets - Liabilities
When considering purchasing renters insurance. a person should know tha...
Wise test questions & answers 2024
An individual, who earns $36,000 a year, has total assets of $156,000 and liabilities of $85,000. The net worth of this individual is - ANSWER-$71,000
Net Worth = Assets - Liabilities
When considering purchasing renters insurance. a person should know that the - ANSWER-purpose is to cover monetary losses related to fire, theft, and personal injury
(The purpose of all insurance is to cover monetary losses. Renters insurance protects against all things that can happen to your rented property. Premiums of all insurance is based off of how risky you are as a customer. The more claims you make, the riskier you are. Income has nothing to do with it. Landlord insurance will protect them from loss, it will do nothing for their renters. Also, landlords can demand that you have insurance but they do not get a say in anything else about it. They do not get to approve the policy, insurance company or coverage.)
The LOWEST interest rate loans generally: - ANSWER-are given to people who have high credit scores
Insurance is frequently described as a method of "sharing the risk"because the insured person shares the risk with the - ANSWER-Other policy holders
When you get insurance you are sharing the possibility/risk with everyone else in your group. We all pay for insurance though we don't all use it all the time. When we don't use it our money is put towards those who need it.
By raising the deductible on car insurance coverage for collision from $200 to $400, the premium will be - ANSWER-A lower amount (deductible (the amount you have to pay before the insurance company will help you) and the premium (the amount you pay each month to have insurance) have an INVERSE relationship. If one is high the other is low. So raising my deductible will lower my premiums.) A credit union is a... - ANSWER-a non-profit business that operates as a bank and is owned by its members.
All effective financial goals should... - ANSWER-Have a target date for achievement
Why are mutual funds considered a wise investment? - ANSWER-They diversify a person's portfolio among a number of stocks and bonds
(A mutual fund is a professionally managed investment that is made up of a pool of funds collected from many investors and invested in stocks, bonds, money markets, and securities. Because mutual funds are are diversified and professionally managed they are considered a wise or lower risk investment.)
Which of the following choices lists assets from MOST liquid to least liquid? - ANSWER-Savings account, certificate of deposit (CD), real estate
A benefit of using a debit card linked to a checking account without overdraft protection is that a person can - ANSWER-Make purchases without going into debt
What happens to the interest rate during the life of a ten year bond that a person purchased paying six percent interest? - ANSWER-The interest rate remains the same for the life of the bond
(Bonds are a FIXED RATE investments. Fixed, means it will stay the same.)
When a person increases his number of payroll exemptions, he will have - ANSWER-An increase in his net
worth (The higher your withholding number is, the less the government will take. )
A person, without checking account overdraft protection, writes a check for $152 when the checking account balance is $125. The bank will generally take which of these actions. - ANSWER-Return the check
because of insufficient funds and charge a fee.
(Without overdraft protection (allows you to take out more than is in your account) the bank will not cash a check, allow the debit or atm transaction unless there is enough money to cover it. If you have protection, then you may cash a check or make a debit or atm transaction and you will just pay a penalty but you will be allowed.)
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller Bensuda. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $8.49. You're not tied to anything after your purchase.
