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quiz 21 - Quiz Chapter 21 Financial Planning Official Score...

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Quiz: Chapter 21: Financial Planning Official Score: 47% Recorded at 9/18/2008 4:31:30 AM (EST). 1) Regular savings accounts are generally easy to open but  have low interest returns. True False 2) About 50 percent of all new cars are leased. True False Rationale: Federal tax laws eliminated deductions for consumer loan interest and sales tax, which immediately made leasing more attractive. However, only 20 percent of all new cars are leased. Review this topic 3) One method of estimating your life insurance needs is to  assume that your family will need 70 percent of your salary  for at least seven years. True
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False Rationale: If you earn $40,000 per year, the estimate would be $40,000 × 7 = $280,000 × .7 = $196,000. You may need more than $196,000.00 if you have a large number of dependents or need more than seven years of income. Review this topic 4) Under no-fault insurance, the driver in an accident collects  medical expenses, lost wages, and other expenses from his or  her own insurance company.
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