phase 2 exam review 35 m/c, 35 t/f questions chapters 6 - 12 personal financial planning fin 235
Post on 03-Jan-2016
213 Views
Preview:
TRANSCRIPT
Phase 2 Exam Review35 M/C, 35 T/F Questions
Chapters 6 - 12
Personal Financial PlanningFIN 235
Chapter 6Building and Maintaining Good Credit
• Types of Credit– Closed-end– Open-end– Reasons for using credit– Credit score and interest rates– Role of credit bureaus
• Advantages vs. Disadvantages– #1 advantage – life style– #1 disadvantage – easy to overspend– Protecting your credit
Chapter 7
• Warranties– Full– Expressed– Limited– Implied
• Buying Wisely– Information – Compare – Select/Buy – Post-Purchase
• Inducements to Buy– Rebates, Discounts, add-ons
Chapter 7Credit Cards & Consumer Loans
• Importance of APR• Credit Limits• Types of Credit– Revolving / Open-ended– Home equity
• Penalties for Late Payments• Cash Advances from credit cards
Chapter 8Vehicle Purchases
• Wants vs. Needs in Selection process• MSRP vs. Negotiated Sale Price• Impact of down payment– Relation to being upside-down in loan/lease
• Importance of:– Pre-shopping– Decision Making– Negotiating Price– Vehicle history when buying a used vehicle
Chapter 9Obtaining Affordable Housing
• Renting (Lease Agreements)– Terms and Conditions (contractual obligations)– Subletting
• Mortgage Financing– Qualifications, Points– Types of Mortgages• Second Mortgages and Home Equity Loans
– Importance of down payments, PMI requirement– Short-sales, Flipping
Chapter 10: Managing Risk
• Relationship between risk, uncertainty and financial Loss
• Rationales for buying insurance• Risk Reduction vs. Risk Avoidance• Steps in risk management process• Hazards, Perils, & Exposure
Chapter 11: Health Insurance
• Objectives of Health Care [policies]• Types of Plans:– Comprehensive– Blue Cross / Blue Shield– Medicare– Medicaid– Health savings Accounts
• Disability Benefits eligibility• Parental Coverage of children under PPAHCA.
Chapter 12: Life Insurance
• Rationales for Life Insurance• Survivor Social Security Benefits• Difference between Term and Whole Life
insurance policies– Motives for selecting term over whole life
• Primary v-v Contingent beneficiaries
top related