Quiz
POB 5.01 Review
Questions in this quiz (16)
1Eddie moved into his own apartment and realized he barely had enough money to get by. Before long, he was in credit trouble, so who should he contact to receive information on actions to help manage his debt?
- ALoan officer
- BCredit counselor
- CBank teller
- DBankruptcy counselor
2When Laverne applied for a loan at the bank, they saw that she had paid all her bills on time. This showed that she had good:
- ACharacter
- BCapital
- CCapacity
- DCollateral
3Rooms to Go Furniture had a great sale and Franny bought a new bedroom suit. The store will allow her to make monthly payments. This is an example of:
- AConsumer Loans
- BInstallment Credit
- CUnsecured Loan
- DCredit Card Sale
4Juan started a new job and needed some new professional clothes. He shopped at Sears and was offered credit. This is an example of:
- AConsumer Loan
- BHome Loan
- CCharge Account
- DBudget Loan
5A VISA card is an example of which type of credit card?
- ABank
- BOil Company
- CRetail Store
- DTravel and Entertainment
6Mary owns several homes and has interest in opening a retail store. From this information, which “C” of credit is she most likely to meet if she wants to borrow money to open the new store?
- ACapital
- BCollateral
- CCharacter
- DCapacity
7During the loan application process, Frank lost his job at no fault of his own. This may keep him from receiving his loan, because of lack of:
- ACapital
- BCollateral
- CCapacity
- DCharacter
8Cost of credit refers to:
- ASaving money
- BPrincipal
- CLength of loan
- DInterest Paid
9The formula for calculating simple interest is:
- AI = P + R + T
- BI = P / R / T
- CI = P x R x T
- DI=PR
10Some people out of necessity use this to reduce debt, but it harms your credit score for at least 7-10 years:
- AGetting a new credit card
- BGetting a new loan
- CCredit Counseling
- DBankruptcy
11The bank loaned Rodney $1800, which will be paid back in 18 months at a set amount each month. This loan is for a boat. What type of loan is it?
- AInstallment Sales Credit
- BConsumer Loans
- CUnsecured Loan
- DCredit Card Sale
12Jack bought a TV from Best Buy on December 31, with an agreement to pay it in full in 30 days. On what day is the payment due?
- AJanuary 1
- BJanuary 30
- CFebruary 31
- DDecember 31
13What is the maturity date for a loan made on January 24 and due in 60 days?
- AMarch 24
- BMarch 25
- CMarch 31
- DApril 1
14What is the interest amount for the following loan: $10,000 car loan for 5 years at 8% interest rate?
- A$14,000
- B$3,000
- C$4,000
- D$5,000
15Jenny has the option of borrowing $300 at a 3% interest rate. Which loan option would cost her the most money?
- AOption1: loan for 2 months
- BOption2: loan for 3 months
- COption3: loan for 6 months
- DOption4: loan for 1 year
16What is the total loan amount for the following loan: $25,000 car loan for 3 years at 4.25% interest rate?
- A$3,187.50
- B$26,000
- C$28,187.50
- D$31,187.50
Information
- Description
- High School Principles of Business Quiz on POB 5.01 Review, created by Tara McDonald on 20/02/2017.
- Author
- Tara McDonald
- Language
- English
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