Category: Uncategorized

Which of the following is not one of the recommended SMART guidelines for personal financial goals?

Richard’s monthly gross income is $[gross], and his monthly disposable (after-tax) income is $[disposable]. He saves approximately $[savings] each month. Question: What is Richard’s savings ratio? Enter your answer as a percentage rate rounded to 1 decimal place, without the % sign. (Example: 0.212 would be reported as 21.2)

Erikka estimates that her take-home pay for the coming year will be $1420 per month. She expects total monthly expenses to be as follows: housing and utilities, $800; food, $200; auto, gas, and insurance, $220; credit card payment, $60; and other expenses $100. The balance on her credit card is $3000, and she currently pays 18 percent interest on this balance. Erikka would like to reduce her credit card debt. If she decides to budget all of her net monthly cash flow to this goal, how much extra money will she pay toward the credit card debt each month? Enter your answer as a dollar amount (no $ sign).  Round to the nearest whole number.

Which of the following categories of household expenses is least likely to change substantially in retirement as compared with preretirement expenses?

You purchased a rental property for $300,000 at the beginning of last year. The net rental income for the year was $12,000. The value of the property increased to $320,000 by the end of that year. If you borrowed 50 percent of the purchase price from a local bank to finance the purchase, paying 6 percent, interest-only, what was your return on investment for the first year? (Round to the nearest 0.1%)

Typically, ______ the risk of an investment and _________ the risk of the institution, the ________ interest is paid on the investment.

The first step in the estate-planning process is to 

Which of the following is generally an advantage of a market order over a limit order?

Gillian believes that all drivers should pay the same auto liability insurance premium. Is this a feasible pricing policy? 

Which of the following should not be a major factor when choosing a personal financial planner?