Principles of Investment — Unit test Answers

Barry wants to open a checking account. He wants online services, and a debit card. He is looking at the following tables of fees from his employer's credit union, EECU, and a local bank, E-town Bank: Based upon past experience, Barry expects no overdrafts. He expects no 2nd copies of statements. Barry estimates that he will use network ATMs about 5 times a month with either bank. Barry decides in the end to choose EECU. Assuming that both banks provide the necessary services equally well, and based upon the tables of fees given above, how much can Barry reasonably expect to save annually by choosing EECU in this case over E-town bank? a. $72 b. $78 c. $144 d. $24 Please select the best answer from the choices provided

Which of the following items may be a good consideration in selecting a bank?I. The bank sends a representative to the local mall to promote new applications.II. Number of ATMs or bank branches near where you live, shop, work, or travel.III. Knowledge of personal usage habits and needs.a.I and IIb.II and IIIc.I and IIId.I, II and III

When discussing a loan, interest rates are expressed as a percentage of the

Which is an example of a short-term investment?

Changes in monetary policy occur when the Federal Reserve

Which questions should Robert ask himself before investing the $10,000 he inherited? Select four options.

Which action is the most important for managing credit effectively?

Which statement best describes the role of a credit agency?

Martin receives an e-mail about a money-making opportunity from a sender who asks for his bank account number. The best way to avoid having his identity stolen is to

Which of these are ways that identity theft can happen? Check all that apply.

Which of these affect real investment value? Check all that apply.

Putting money into more than one kind of investment at a time is called

Julie wants to buy a car and is deciding how she should invest her money. To best meet her needs, she should

How does time generally affect the risk of an investment?

The table shows the cost of various expenses Montrel expects to pay for one year at a public two-year college.CategoryAmounttuition$3,220room/board$7,650transportation$1,895books/lab fees$875How much should Montrel expect to pay?$

Vítor knows he must prepare and possibly prevent overdraft funds fees since they are charged automatically. Which statement below would be the least effective element of a plan Vitor could use to accurately estimate (or minimize) overdraft fees on the account? a. Always keep extra money in the account for such unexpected events. b. Use the debit card for a large number of small purchases and check the balance later. c. Always keep track of how much is being temporarily held d. Do not enter deposits into the register until they are verified as available. Please select the best answer from the choices provided

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Dustin estimates it will cost $7,721 annually to attend a public four-year college. He will receive $1,930 in grants. How much is Dustin’s estimated annual contribution to his college education?$

What occurs over time as a result of inflation? Check all that apply.

Emma is ready to open a new checking account and is trying to decide between three banks using the chart below:Bank RBank SBank TNo monthly fees if balance stays above $300, otherwise $7 per monthNo monthly fees if check card is used more than 6 times per month, otherwise $10 monthly fee$5 monthly feeNo minimum balance$25 minimum balanceNo minimum balanceOnline banking servicesOnline banking servicesNo online banking optionsNon-Bank R ATM fee - $2.00 per transactionNon-Bank S ATM fee - $1.50 per transactionNon-Bank T ATM fee - $2.00 per transactionEmma usually has about $1000 in her account at any given time during the month. She usually visits the ATM twice a week and is interested in banking online options. Bank R has 10 ATMs within a 5 mile radius of Emma’s home. Bank S has 1 ATM 10 miles from Emma’s work. Which bank should she choose?a.Bank Rb.Bank Sc.Bank Td.Bank R and S