Cumulative Exam — Cumulative exam Answers

Which is a long-term consequence of paying less than the minimum amount due on your bills?

Which term is defined as a fee charged for the use of money?a.interestb.down paymentc.principald.default

Mark is looking for professional financial assistance. Mark has never invested before and is not quite sure where to start. He knows that he wants to build up investments for future projects such as retirement, but he is not sure how to navigate investment in light of his existing debts. Recommend an appropriate financial professional for Mark. a. Full-service broker b. Discount broker c. Accountant d. Financial planner Please select the best answer from the choices provided

A Roth Individual Retirement Account allows you to draw a fixed amount that is not taxed. The maximum amount that an individual can contribute annually to a Roth IRA is $5,000. Determine the future value of such an account given that the annual percent rate is 1.2%, and an annual payment of $2,675.32 is made at the end of each year for 30 years. Round to the nearest cent.a.$95,245.67b.$95,340.91c.$97,074.97d.$95,923.88

Broker P charges a commission of $8.50 for every ten shares of stock, and Broker Q charges a fee of $65.00 for every thousand dollars bought or sold. If stock in Ergar Appliances costs $18.75 per share and you buy 500 shares, which broker is the better deal, and by how much?a.Broker Q will charge $375.35 less than Broker P.b.Broker Q will charge $160.22 less than Broker P.c.Broker P will charge $184.38 less than Broker Q.d.Broker P will charge $425.00 less than Broker Q.

What may be a concern if you have an adjustable rate mortgage (ARM)?a.After the initial fixed rate period, your rate may increase.b.Your payment will constantly change during your initial fixed rate period.c.After the initial fixed rate period, your rate may decrease.d.A portion of your rate pays the commission of your mortgage broker.

What is the biggest difference in who controls the 401(k) and IRA retirement plans? a. IRA is intended for a stable retirement income, while a 401(k) is reserved for emergencies or luxuries. b. 401(k) is a good last minute investment for retirement, while IRAs require years of investing. c. IRAs allow one to save a lot more money towards retirement than a 401(k). d. A 401(k) is controlled and monitored by an employer, and an IRA is controlled by the investing individual. Please select the best answer from the choices provided

Which of the following services will be provided by a full-service broker but not by a discount broker?I. Research of potential investment opportunitiesII. Purchase and sale of stock at your requestIII. Recommendation of investmentsa.I and IIIb.II onlyc.III onlyd.I, II, and III

Stock in Trochel Office Supplies trades at $72.40 per share and pays a yearly dividend of $6.92 per share. If David owns stock in Trochel Office Supplies worth $6,443.60, how much does he get paid in yearly dividends?a.$678.16b.$931.16c.$615.88d.$560.52

Which describes an example of using unsecured credit?

What is a primary economic goal of governments?

The chart shows a range of credit scores.

President Roslin of Country XYZ knows that a new policy is needed to help solve the problem of rising unemployment in her nation. Her next step is to

Which investment has the least liquidity?

The pie graph shows sources of income for people ages 65 and over in 2010.

In what circumstance would a property insurance claim be rejected?

Which investment is best for someone who is likely to need cash soon?

Rules ensuring that businesses offer safe products to consumers are part of a nation's

Carmen buys 153 shares of Cawh Consolidated Banks, each of which pays a constant yearly dividend of $7.14. After six years, how much has Carmen received in dividends?a.$5,783.40b.$1,820.70c.$1,092.42d.$6,554.52

Which best describes a way people can use personal loans?