15
practice testMultiple Choice

Practice Test

Question 15 • Personal Finance

Part A: Why are education savings accounts useful?

Answer
A
eliminate saving
B
provide tax advantages
C
reduce FAFSA
D
increase borrowing

Explanation

Education savings accounts are useful because they can offer tax advantages, such as tax-free growth or tax benefits when funds are used for qualified education costs. They do not eliminate the need to save, reduce FAFSA, or increase borrowing.

AI-written and checked against the verified answer.

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