Personal Finance Quiz: Part 3
Total Questions : 25 Scoring System: Correct Answer : +1 points Incorrect Answer : -1 point Not Answered : 0 point The final result will appear at the end. All The Best.
- What is the concept of "asset allocation" in retirement planning?
- Which of the following is a potential risk during retirement?
- At what age are individuals required to start taking minimum distributions from their traditional IRAs and 401(k) plans in the United States?
- regular income payments during retirement?
- What is the primary purpose of long-term care insurance?
- What is the purpose of a loan?
- What is collateral?
- Which type of loan typically has the lowest interest rate?
- What is the term for the interest rate that remains the same throughout the loan term?
- Which of the following is not a factor that lenders consider when approving a loan?
- What does APR stand for?
- What is the term for a loan that requires no collateral?
- What is a grace period in relation to a loan?
- Which type of loan is specifically designed for students to pay for education expenses?
- What is the term for a loan that combines multiple debts into a single payment?
- What is the down payment in relation to a loan?
- Which type of loan is typically used to purchase a home?
- What is the term for a loan with a higher interest rate due to the borrower's poor credit history?
- What is the term for the total amount of money borrowed in a loan?
- Which of the following is a type of business loan that provides funds for purchasing inventory?
- What is the primary purpose of a 529 plan?
- Which of the following is a qualified education expense under a 529 plan?
- Which type of account allows for tax-free withdrawals for qualified education expenses?
- Which federal grant program provides need-based financial aid for college students?
- What is the benefit of a Coverdell Education Savings Account (ESA)?
Allocating a portion of income to savings
Determining the ideal retirement age
Diversifying investments across different asset classes
Career advancement risk
Inflation risk
Mortgage risk
72
62
52
Annuity
Mutual fund
Bond
To cover medical expenses during retirement
To protect against the costs of nursing home or home healthcare
To provide income during retirement
To invest in stocks
To save money
To borrow money
The property or asset used to secure a loan
The interest rate on a loan
The length of time to repay a loan
Auto loan
Personal loan
Mortgage loan
Variable rate
Fixed rate
Annual percentage rate
Favorite color
Employment history
Income level
Adjustable Payment Ratio
Annual Percentage Rate
Average Personal Risk
Subprime loan
Secured loan
Unsecured loan
The period during which no interest is charged on a loan
The length of time to repay a loan
The time it takes to get approved for a loan
Personal loan
Student loan
Auto loan
Refinance loan
Payday loan
Consolidation loan
The initial payment made towards the purchase price
The fee charged by the lender
The amount of money borrowed
Mortgage loan
Personal loan
Auto loan
Adjustable-rate loan
Subprime loan
Prime loan
Collateral
Principal
Interest
Working capital loan
Commercial mortgage loan
Equipment loan
Tax-deferred growth of investments
Funding healthcare expenses
Financing retirement expenses
Car purchase
Vacation expenses
Tuition fees
401(k) plan
Roth IRA
Traditional IRA
Stafford Loan
Pell Grant
PLUS Loan
Tax-free growth and withdrawals for education expenses
High contribution limits
Tax-deductible contributions