Personal Family Financial Planning Quiz Answer. In this post you will get Quiz Answer Of Personal Family Financial Planning Quiz
Personal Family Financial Planning Quiz
Offered By ”University of Florida”
Week- 1
Time Value of Money Assignment
1.
Question 1
Michael and Jessica decide to invest $2,000 in a portfolio of stocks for a time period of 5 years. They believe that the portfolio would give them a return on investment of 8%. What would be the total sum at the end of 5th year?
1 point
$2938.65
$2900
$2648.23
$2600
2.
Question 2
Earl Broker is 25 years old, senior in college and he decides to put $150 every year in a Roth IRA through Vanguard Total Stock Market ETF. It gives the return of 10%. Find the total sum he will receive when he will withdraw the money in his 65th birthday.
1 point
$66,388.86
C$60,688.58
$65,688
$68,588.48
3.
Question 3
Betsy Parker wants to buy a house in next 10 years and decides to have a SMART goal of having $40,000 as down payment. With the investment that gives interest rate of 5%, how much money she needs to set aside now?
1 point
$20,000.85
$24,556.53
$28,046
$30,056.63
4.
Question 4
A portfolio manager came up with a lucrative offer for Debbie Smith that he will provide her with $15,000 per year for 20 years if she can invest certain amount upfront. Considering the return of the portfolio as 8 %, how much money Debbie needs to come up with?
1 point
$145,189.43
$50,186.54
$150,352.56
$147,272.21
5.
Question 5
Instead of investing a lump sum of $25,000, Brittany Royer decides to save the money in a vault for 2 years. Assuming the inflation being 2.5% per year, how much will her purchasing power decline in 2 years time?
1 point
$1334.7
$1265.6
$1000.5
$1556.2
6.
Question 6
A combination of stocks and bond portfolio offers Mike Spangler a rate of return of 8.5%. Considering the inflation rate of 3%, what is the actual (real) rate of return?
1 point
3.33%
5.33%
9.33%
7.33%
Quiz 1
1.
Question 1
Inflation is defined as a steady rise in the general level of prices.Question text
1 point
False
True
2.
Question 2
A method by which one can compare cash flows across time, either as what a future cash flow is worth today (present value) or what an investment made today will be worth in the future (future value) is called
1 point
simple interest
time-value of money
marginal analysis.
compounding
3.
Question 3
In 2 years you are to receive $4,000. If the interest rate were to suddenly increase, the present value of that future amount to you would
1 point
Remains unchanged
Rise
Cannot be determined
Fall
4.
Question 4
You can use ——————– to roughly estimate how many years a given sum of money must earn at a given compound annual interest rate in order to double that initial amount .
1 point
Rule of 140
Rule of 142
Rule of 72
Rule of 75
5.
Question 5
The process of obtaining future values is referred to as:
1 point
Annuitizing
Discounting
Compounding
None of the above
Week- 2
Financial Record Keeping Assignment
| An important part of business planning process is he preparation of financial statements to predict the outcome of an organization in future. |
Quiz 2
1.
Question 1
How can you track your current spending?
1 point
Have a spending diary
Keep all receipts
Use budgeting app like Mint
All of the above
2.
Question 2
Which is NOT a way to reduce your flexible or variable expenses?
1 point
Eating out frequently
Control electricity usage
Carpool
Limit grocery shopping
3.
Question 3
The primary purpose of setting long-term financial goals is to help
1 point
measure financial success or failure.
achieve a comfortable retirement.
acquire great wealth.
provide direction for overall financial planning.
4.
Question 4
What is Net Worth?
1 point
Income minus expense
Assets minus liabilities
Assets minus expenses
Income minus liabilities
5.
Question 5
Rent and Mortgage payments are examples of:
1 point
Short-term liabilities
Fixed expenses
Variable expenses
Long-term liabilities
Week- 3
Tax Planning Assignment
Note- Just write anything whatever you know. There is no right or wrong
Quiz 3 – Taxation
1.
Question 1
Which is NOT a way to reduce taxable income?
1 point
Defer income
Shift income to someone else
Increase deductions
All of the above
2.
Question 2
While saving for a long run, if you decided not to pay taxes now but to pay them later, then that option is known as __________________
1 point
Tax-exempt
Tax-deferred
None of the above
Tax-deduction
3.
Question 3
Which option doesn’t provide you current tax savings on your contribution however you don’t have to pay taxes later at the time of withdrawal?
1 point
Traditional IRA
Roth IRA
4.
Question 4
Bryan Smith decided to donate $2,000 to a local charity. Considering that he can itemize this deduction, how much will he save in his federal income taxes if he is in 25% marginal tax rate?
1 point
$600
$525
$625
$500
5.
Question 5
Brittany Spangler is a 22 year old unmarried graduate student and she claimed as a dependent on her parent’s tax return. What is the maximum number of personal exemptions she can legally claim on her own tax return?
1 point
0
3
2
1
Week- 4
Credit Report Assignment
1.
Question 1
i. Do you have late payments?
1 point
What do you think?
| In some cases it is possible to have late payments removed from your credit reports as I rebuild my credit. 1 |
2.
Question 2
ii. What % of capacity are you using?
1 point
What do you think?
| 30% |
3.
Question 3
iii. How long have you had credit?
1 point
What do you think?
| 2 years |
4.
Question 4
iv. What inquiries have you had? How recent? How spaced out?
1 point
What do you think?
| None |
5.
Question 5
v. What types of credit have you used? Revolving, installment?
1 point
What do you think?
| Installment |
Quiz 4 – Credit
1.
Question 1
Which Law requires creditors to disclose the annual percentage rate of interest and finance charge in dollars?
1 point
Equal Credit Opportunity Act
Fair Credit Billing Act
Truth in Lending Act
Fair Debt Collection Practices Act
2.
Question 2
A lender can legally discriminate in granting credit based on
1 point
race.
age.
sex.
credit history.
3.
Question 3
A borrower with an excellent credit history would be most likely to receive credit with
1 point
both higher credit limits and lower interest rates.
higher credit limits.
lower interest rates.
variable interest rates.
4.
Question 4
A factor in the development of credit scores is
1 point
amounts owed.
types of credit you use.
payment history.
all of these.
5.
Question 5
Credit bureau files can be used to help evaluate applications for
1 point
credit.
employment.
insurance.
all of these.
Week- 5
Insurance Assignment
Note- Just search the question on google and copy what you find then paste because there is no right or wrong
4. How much will ashley’s policy pay Ashley and Fran
$26200
Quiz 5 – Risk Management
1.
Question 1
The various ways to deal with risk is to avoid it, reduce it, assume it or transfer it.
1 point
True
False
2.
Question 2
If the risk is going to happen a lot and when it happens it is going to be bad, then we want to _______
1 point
Retain it
Avoid it
Assume it
Transfer it
3.
Question 3
What is the condition that creates or increases the likelihood of loss occurrence?
1 point
Situation
Hazard
Peril
Damage
4.
Question 4
Which of the following statements is not true about insurance deductibles?
1 point
You should always choose the highest deductible you can afford.
The higher the deductible, the higher the insurance premium.
A deductible requires you to pay the first portion of the loss.
Deductibles are common in property insurance policies.
5.
Question 5
Minor injuries to passengers in your car would be covered by which of the following parts of your auto insurance policy?
1 point
Bodily injury liability
Medical payments
Uninsured motorist
None of these
Week- 6
Quiz 6
1.
Question 1
Does the market typically reward investor for assuming the idiosyncratic or unique risk?
1 point
Yes
No
2.
Question 2
It is impossible to beat the market because whatever the stock price is today reflects the information that is already out there. Which theory reflects this statement?
1 point
Efficient market hypothesis
Life-cycle theory
Prospect theory
Expected utility theory
3.
Question 3
We need to form our investment strategies based on our goals and the time it will take to reach them,
1 point
True
False
4.
Question 4
What is the importance of asset allocation?
1 point
To reach our future goals
To meet ongoing needs
To produce income
All of the above
5.
Question 5
When we sell a share after the price appreciation and make some money, it is called ___________
1 point
Capital gain
Short sell
Continuous income
Dividends
Week- 7
Mutual Funds Assignment
Note- Just search the question on google and copy what you find then paste because there is no right or wrong
Quiz 7 – Mutual Funds
1.
Question 1
Investment company that pools investors’ money to purchase stock, bonds or other assets is called _________
1 point
Mutual fund
Dow Jones
NYSE
Blue chip stocks
2.
Question 2
Which can be a disadvantage of Mutual funds?
1 point
Management fees incurred
Diversification
Professional management
Tax efficiency of fees
3.
Question 3
Which is source(s) of return to the investors investing in mutual funds?
1 point
Dividends
Capital gains distributions
Appreciation in the NAV
All of the above
4.
Question 4
The first and most important thing to do while selecting a mutual fund to buy is to identify your investment objectives.
1 point
True
False
5.
Question 5
Which is a way/ways to access mutual funds?
1 point
Using brokers
Through Individual Retirement Accounts
Using employer retirement accounts
All of the above.
