Unit Test — Unit test Answers

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1
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Federal and state governments protect victims of identity theft by

A
creating laws that impose fines and jail time for identity thieves.
B
passing laws requiring financial institutions to reimburse victims.
C
forcing credit-reporting agencies to notify victims of suspicious activity.
D
requiring people to do a better job protecting their personal information.
2
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Which is an example of protected personal information?

A
your mother’s maiden name
B
the streaming services you watch
C
your father’s favorite type of vehicle
D
the restaurant you frequent most often
3

Which is the most efficient way to prevent bankruptcy?

A
Use all your savings to pay off higher interest credit cards.
B
Open low-interest credit cards to pay off high-interest credit cards.
C
Use a personal loan to pay off some of your high-interest credit cards.
D
Take steps to stay in good financial health by creating an effective budget.
4

Priya filed a medical claim with her insurance company that was denied. She contacted the insurance company and discovered that someone else had been filing fraudulent claims using her name and information.What initial steps should Priya take to repair and correct this situation after filing a report with the FTC?

A
Priya should share the FTC report with the police and contact the Internal Revenue Service to report the identity theft.
B
Priya should share the FTC report with the police and contact all her friends and family to share the identity theft incident.
C
Priya should share the FTC report with the police and contact the medical insurance company to report the identity theft.
D
Priya should share the FTC report with the police and contact her medical providers to report the identity theft.
5

Theo and Amelia retained an attorney for advice about their troubled financial situation. Last month, they received a discharge and their Chapter 7.What negative impact will this couple face after filing for bankruptcy?

A
They will need to keep a budget.
B
They will need to monitor credit reports.
C
They will need to repair their credit score.
D
They will need to start an emergency fund.
6

Tamara has a hard time remembering pin numbers for her credit cards, but she wants to keep the information secure.Which is the best solution for her dilemma?

A
writing them down on one list and keeping them in a safe place at home
B
typing them into her smartphone so they are easily accessible
C
typing them into an e-mail and sending it to her personal e-mail account
D
writing them down on one list and keeping them in her wallet
7

Ella attempted to file her tax return and learned that someone had already filed a fraudulent return using her name.What first step should Ella initiate to correct the problems related to this identity theft?

A
Ella should contact the Social Security Administration to file a report.
B
Ella should contact the Internal Revenue Service to file the appropriate claims.
C
Ella should contact the Federal Trade Commission to report the identity theft.
D
Ella should contact the police to file a report about the identity theft incident.
8

Which form of government insurance provides assistance to people who become injured on their jobs?

A
Medicare
B
social security
C
unemployment insurance
D
workers’ compensation insurance
9

What’s the first step of purchasing insurance?

A
contacting a company or an agent
B
signing a contract with a company
C
shopping around for the best deal
D
receiving proof of an insurance policy
10

Kaleb wants to get a payday loan in the amount of $375. He knows that the annual percentage rates (APR) for these types of loans are high, but he is hoping to find one that has an APR of 40%. If Kaleb finds a business that charges a fee of $37 for the loan, what would the term of the loan need to be in order for Kaleb to get his desired APR?

A
9 days
B
19 days
C
90 days
D
95 days
11

Manny makes the following purchases at the store:pair of jeans for $32.653 t-shirts for $14.89 eachpair of sneakers for $39.99The store is having a promotional sale where 10% is taken off of each customer’s total purchase before tax. The sales tax is 8%. If Manny paid $114.03 , then he _____ for his purchase.

A
paid $5.63 too little
B
paid $3.28 too little
C
paid the correct amount
D
paid $8.45 too much
12

A consumer charges a $46.92 purchase on a credit card. The card has a daily interest rate of 0.039%. If the consumer pays off the balance at the end of 30 days, how much in interest will be paid for the purchase?

A
$0.06
B
$0.18
C
$0.55
D
$5.49
13

Natasha makes on online purchase of 3 hard cover books for $19.95 each and 1 book on tape for $17.43. The site says that taxes paid by the customer are 7.25% of the total purchase price. Shipping charges are based on the following table:Amount of PurchaseStandard ShippingExpress Shippingup to $50$5.10$7.00$50 up to $100$6.35$8.20$100 up to $200$7.80$11.60$200 and over$10.50$16.45

A
Natasha has been billed correctly.
B
Natasha has not been charged enough for her purchase.
C
Natasha has been over charged by $1.85 for her purchase.
D
Natasha has been over charged by $8.20 for her purchase.
14

Melanie is very concerned with avoiding late fees. The table shows her choices for paying her bills. MethodBill Payment Methods1Pay by check2Pay online3Set up automatic payments4Pay by telephoneWhich method should she use to pay her bills? Enter the response using the corresponding method number. [BLANK]

Answer not available
15

How does filing for bankruptcy effect your credit history?

A
Bankruptcy may provide a clean slate for new credit accounts.
B
Bankruptcy may trigger higher interest rates for new credit accounts.
C
Bankruptcy may impact your credit report and increase loan eligibility.
D
Bankruptcy may not impact your credit score or your eligibility for new loans.

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