Cumulative Exam — Cumulative exam Answers

Gareth has $2,000 to invest. Putting the money in a savings account at his local bank will earn him 2.2% annual interest and gives him the ability to make ATM withdrawals from that bank’s ATMs. Putting the money in an online savings account will earn him 4.85% annual interest, but he will be charged $3 every time he makes an ATM withdrawal. Assuming that Gareth’s ATM withdrawals do not affect the amount of interest he earns, roughly how many ATM withdrawals must Gareth make every year for the local savings account to be a better deal than the online savings account?a.8b.14c.18d.25

Henry is moving and needs to open a new checking account. He is trying to decide between three banks using the chart below:Bank XBank YBank ZNo monthly fees if balance stays above $500, otherwise $7 per monthNo monthly fees if check card is used less than 6 times per month$5 monthly feeNo minimum balance$25 minimum balanceNo minimum balanceOnline banking servicesOnline banking servicesOnline banking servicesNon-Bank X ATM fee - $2.00 per transactionNon-Bank Y ATM fee - $1.50 per transactionNon-Bank Z ATM fee - $2.00 per transactionHenry usually has about $300 in his account at any given time during the month. He limits his ATM visits to one per week and is interested in banking online options. Bank X and Bank Z have 5 ATMs within a 5 mile radius of Henry’s work and his new home. Which bank should he choose?a.Bank Xb.Bank Yc.Bank Zd.Bank X and Z

Which of the following modifications to the list of assets and liabilities below would result in an increase in net worth?Cash of $300.Car valued at $28,000.Car loan of $22,000.Motorcycle valued at $6,000.Savings of $2,000.Credit card balances of $4,000.Student loan of $10,000.a.putting $100 in savingsb.paying $100 on credit cardsc.getting paid $100d.all of the above

Complete the following table using the equation: x -2 -1 0 1 2 y Plot the points on a graph and determine which graph best represents the equation. Graph A Graph B a. 8, 2, 0, 2, 8; Graph A b. -8, -2, 0, -2, -8; Graph A c. 8, 2, 0, 2, 8; Graph B d. -8, -2, 0, -2, -8; Graph B Please select the best answer from the choices provided

Luis has a biweekly gross pay of $770 and claims 2 federal withholding allowances. Luis has all of the following deductions from his gross pay: federal tax from the following table Social Security tax that is 6.2% of his gross pay Medicare tax that is 1.45% of his gross pay state tax that is 19% of his federal tax Determine how Luis’ net pay will be affected if he increases his federal withholding allowances from 2 to 3. a. His net pay will decrease by $19.00. b. His net pay will increase by $19.00. c. His net pay will decrease by $22.61. d. His net pay will increase by $22.61. Please select the best answer from the choices provided

The depth of the water, d, at the end of a pier changes periodically as a function of time, t, in hours as shown in the graph below. According to the model, the last low tide occurred at 5:00 a.m. When will the next low tide occur? Let t = 0 be 12:00 a.m.

Ruby wants to start her own business taking photographs. She already has her own camera, but needs to purchase lights, a photo printer, and photo paper. If the cost of the photo printer is $251.99, the cost of lighting is $150.00, and the cost for 100 sheets of photo paper is $30.98, determine how much of her savings will be used to start her company, given that she has $840.32 in savings.a.$432.97b.$840.32c.$432.62d.$407.35

Over the period of a year, Sam’s net worth increased. Which of the following could be true?a.Sam’s assets and liabilities decreased by the same amount.b.Sam’s assets and liabilities increased by the same amount.c.Sam’s assets increased by more than his liabilities.d.Sam’s assets decreased by more than his liabilities.

Justin is married with one child. He works 40 hours each week at a rate of $16 per hour. His wife began working part time after their daughter was born, but still contributes about $350 to the cash inflow each month. Their monthly cash outflow is generally about $3,000. They have a balance of $2,000 in their savings account. Justin has retirement contributions taken out of his paycheck at work. They have renter’s, car and life insurance coverage.Based on this information, what part of their financial plan should Justin and his wife work on?a.managing incomeb.managing liquidityc.protecting assetsd.retirement

Chuck has a gross pay of $815.70. By how much will Chuck’s gross pay be reduced if he has the following items withheld?federal tax of $56Social Security tax that is 6.2% of his gross payMedicare tax that is 1.45% of his gross paystate tax that is 19% of his federal taxa.$73.04b.$129.04c.$235.51d.$273.38

George tallies up the transactions in his check register and comes up with a total balance of $221.57, but his bank statement says that his balance is $203.73. Which of the following are still outstanding?I. A $20.25 check to the floristII. A $14.29 check to the dry cleanersIII. A $38.09 check depositIV. A $19.05 money order deposita.I and IIIb.I and IVc.II and IIId.II and IV

Which of the following statements accurately describes the result of a decreasing worker-per-beneficiary ratio in the Social Security system?a.Fewer taxed workers than beneficiaries means that the system is collecting more money for the money being drawn out. This leaves money in the system and secures benefits for future beneficiaries.b.Fewer taxed workers than beneficiaries means that the system is collecting more money for the money being drawn out. This leaves a shortage of money in the system making benefits for future beneficiaries unsure.c.Fewer taxed workers than beneficiaries means that more money is being drawn from the system for the money put in. This leaves a shortage of money in the system making benefits for future beneficiaries unsure.d.Fewer taxed workers than beneficiaries means that more money is being drawn from the system for the money put in. This leaves money in the system and secures benefits for future beneficiaries.

Determine the total annual FICA tax for an annual salary of $38,480. (FICA is 7.65%) a. $294.37 b. $717.96 c. $2,385.76 d. $2,943.72 Please select the best answer from the choices provided

Make a scatter plot of the data below. Speed (mph) Stopping distance (ft) 10 12.5 20 36.0 30 69.5 40 114.0 50 169.5 60 249.0 70 325.5 Use the quadratic regression feature of a graphing calculator to find a quadratic model. Round to the nearest hundredths place. a. b. c. d. Please select the best answer from the choices provided

Oscar has elected to have 23% of his federal income tax withheld as state income tax. If $154.00 was withheld as federal income tax on his last paycheck, how much will be withheld from his paycheck for income tax in all? a.$35.42b.$118.58c.$177.00d.$189.42

Use the given equation to complete the table: t (sec) s(ft) 0 1 2 3 Using the points from the table select the graph that best represents the equation. Graph A Graph B a. 0, 16, 64, 144; Graph A b. 0, 4, 8, 12; Graph A c. 0, 16, 64, 144; Graph B d. 0, 4, 8, 12; Graph B Please select the best answer from the choices provided

Ken, a single taxpayer, has a gross income of $79,685. He claims one exemption and can take a deduction of $1,257 for medical expenses, a deduction of $2,181 for interest on his mortgage, an adjustment of $800 for alimony, a deduction of $1,419 for property taxes, an adjustment of $1,722 for business expenses, and an adjustment of $2,511 for contributions to his retirement fund. The standard deduction for a single filer is $5,700, and exemptions are worth $3,650 apiece. Using the table below, how much does Ken owe in income tax? a. $12,663 b. $12,825 c. $12,675 d. $12,838 Please select the best answer from the choices provided

James has a job with a current salary of $42,000. He wants to earn a college degree that will take him 2 years to complete and it will cost $28,000 per year. He will go to school full time and will not be able to work. Upon graduation, James' new salary will be $56,000 per year. How many years will it take James to recover his investment? a. 1.3 years b. 2.5 years c. 10 years d. 20 years. Please select the best answer from the choices provided