Have an account?
Skip to Content
Build your own quiz
Suggestions for you
35 questions
Show Answers
See Preview
- 1. Multiple Choice
When house hunting, the presentation recommends limiting the homes you look at to which of the following?
Only homes in your budget
Only homes listed by your real estate agent
Only newer homes
Only fixer-uppers
- 2. Multiple Choice
John Darden said a buyer may be able to negotiate to get the seller to pay for which of the following?
Down payment
Home inspection
Closing costs
Homeowners insurance
- 3. Multiple Choice
In addition to making sure a home meets your needs, you should also check which of the following?
The home qualifies for government support
The home is a good investment
The home's seller is easy to work with
The home will incorporate amortization
- 4. Multiple Choice
The presentation said most recommend having a down payment equal to what percentage of the home price?
5 percent
10 percent
20 percent
25 percent
- 5. Multiple Choice
The presentation recommends bringing which of the following to a house when looking at it with your real estate agent?
Everyone who will live in the house
A tape measurer
A camera
Someone who has bought a house before
- 6. Multiple Choice
John Darden said one common mistake home buyers make is hiring which of the following?
A professional home inspector
An escrow lawyer
A friend or relative as a real estate agent
A personal home shopper
- 7. Multiple Choice
According to the presentation, lenders judge your ability to borrow based on which of the following?
Age, gender and location
Education, income and family size
Income-to-age ratio
Debt-to-income ratio
- 8. Multiple Choice
According to the presentation, most sellers will only accept an offer from a buyer with which of the following?
The same real estate agent as the seller
An offer more than the asking price
An FHA or VA loan
A pre-approval letter
- 9. Multiple Choice
Which type of skills does the presentation recommend you have before buying a home?
Basic home repair skills
Painting skills
Public speaking skills
Money-management skills
- 10. Multiple Choice
What does the presentation recommend you do if you find a home fitting your needs and budget?
Continue looking for a few days
Stop searching
Revisit your three favorites
Show the house to your parents
- 11. Multiple Choice
Private mortgage insurance is mandatory for which of the following?
Lenders granting loans of $350,000 or more
Lenders working exclusively with first-time home buyers
Homeowners with less than 20 percent home equity
Homeowners in flood, earthquake or tornado zones
- 12. Multiple Choice
Which of the following summarizes how equity can be calculated?
Depreciation plus appreciation equals equity
Value minus debt equals equity
Down payment minus loan amount equals equity
Principal plus interest equals equity
- 13. Multiple Choice
The process of a certified professional assessing the value of the property is known as which of the following?
Appraisal
Disclosure
Inspection
Jargon
- 14. Multiple Choice
Fannie Mae and Freddie Mac perform which of the following functions?
Provide financial security to senior citizens by allowing conversion of home equity into cash
Help eligible veterans and servicepeople afford homeownership by lowering credit and down payment requirements
Ensure continuous funds for home loans by securitizing conforming loans
Allow homeowners to lower interest rates and payments through refinancing of their mortgages
- 15. Multiple Choice
How much equity must you have to have outright ownership of a property?
No equity
50 percent equity
100 percent equity
More than 100 percent equity
- 16. Multiple Choice
With an amortized loan, early payments primarily pay for which of the following?
Principal
Interest
Taxes
Insurance
- 17. Multiple Choice
ARM is short for which of the following?
Amortized real estate mortgage
Approved refinancing mortgagor
Annually renewed mortgage
Adjustable-rate mortgage
- 18. Multiple Choice
If you have an amortized loan, additional payments made on top of normal monthly payments are typically applied to which of the following?
Principal
Interest
Taxes
Insurance
- 19. Multiple Choice
Which of the following is the general rule distinguishing real property from personal property as stated in the presentation?
If it requires a tool to remove, it is part of the real property
If it can be sold in an estate sale, it is personal property
If it is worth more than $1,000, it is part of the real property
If it will fit in a motor vehicle, it is personal property
- 20. Multiple Choice
After a home pruchase successfully closes, which of the following typically happens to earnest money?
It is given back to the buyer
It is given to the seller
It is paid to the real estate agent
It is applied to the down payment
- 21. Multiple Choice
Which of the following accurately describes stocks?
Investments providing ownership of public companies
Employee-sponsored retirement benefit plans
Savings accounts which include tax benefits
Contributions for the government required of people
- 22. Multiple Choice
Budgeting finances requires calculating __________ and __________.
Income; expenses
Utility; opportunity cost
Investments; savings
Inflation; taxes
- 23. Multiple Choice
Common stock differs from preferred stock in which of the following ways?
Voting rights
Liquidity
Exchange rates
Callable features
- 24. Multiple Choice
A ________ account has a higher rate of return, but a __________ account has a lower required minimum balance.
Savings; money market
Money market; savings
- 25. Multiple Choice
Budgets assist in reorganizing finances to reduce ________ or increase ________.
Problems; happiness
Debt; savings
Funds; expenses
Consistency; originality
- 26. Multiple Choice
Short-term goals cover a time period of one to two years.
False
True
- 27. Multiple Choice
__________ explains how a person changes financial position, earnings, consumption and savings throughout the life cycle.
Family life cycle
Portfolio growth
Financial evolution
Money life cycle
- 28. Multiple Choice
If income exceeds expenses, which of the following is recommended?
Decrease income sources
Go on vacation
Increase income sources
Research investment and savings options
- 29. Multiple Choice
Anyone can open a 401K savings plan.
True
False
- 30. Multiple Choice
Which of the following is NOT true of a Roth IRA?
Applies a 10 percent tax penalty on any withdrawals made before the age of 59.5
Does not reduce tax liability
Can be withdrawn at any time
Does not require taxes paid on the interest
- 31. Multiple Choice
An identity recovering service does NOT do which of the following?
Calls the Federal Trade Commission on your behalf
Helps write letters to debt collectors
Represents you in dealing with creditors on your behalf
Guides you through documents which need to be reviewed
- 32. Multiple Choice
Which of the following types of service helps deal with the effects of identity theft after it happens?
Credit monitoring
Identity recovering
Identity monitoring
Credit reporting
- 33. Multiple Choice
Which of the following types of life insurance only pays benefits if an individual dies during the period in which the policy is covered?
Whole life insurance
Universal life insurance
Partial life insurance
Term life insurance
- 34. Multiple Choice
Which of the following types of health insurance covers expenses of daily care when an elderly person becomes unable to care for him or herself?
Accident insurance
Short-term disability insurance
Long-term disability insurance
Long-term care insurance
- 35. Multiple Choice
Which of the following laws explicitly made stealing personal information a crime?
Fair Credit Reporting Act of 2003
Identity Theft Enforcement and Restitution Act of 2008
Identity Theft Penalty Enhancement Act of 2004
Identity Theft and Assumption Deterrence Act of 1998
- Answer choicesTagsAnswer choicesTags