Page 164, Lets Talk About It #3
An individual account is best when you do not want anyone else to have access to the
account. An account held in joint tenancy would allow another person total access t
Page 134, Lets Talk About It #2
It is correct to assume that the withholding by an employer is enough to cover the
taxes owed. However, in most such cases there is more than enough and those
Page 313, What do you Recommend now?
The first thing that Nick and Amber should do is identify their risk exposures. Once they do that they will
then be able to estimate their risk level and the extent of the possible losses. Since insurance is only one
Page 30, Do the Math #1
Assuming an average inflation rate of 3 percent and an equal cost-of-living raise,
Gwens salary in 10 years will be $45,692 ($34,000 1.3439). In 20 years she
Page 96, Lets Talk About It #5
One reason that people dont make formal budgets is inertia. Couples, individuals, and families see
making a formal budget as a big job they do not have time f
Chapter 3: Financial Statements, Tools and Budgets
20. False A balance sheet describes an individuals financial progress over a period of
time, generally a year.
21. True A cash-flow statement summarizes transactions that have taken p
Chapter 4: Managing Income Taxes
3. T False The key to reducing ones tax liability is to reduce taxable income rather than
6. T False A regressive tax is one that demands a higher percentage of a persons
income as income
Chapter 12: Life Insurance Planning
3. T F The primary reason for buying life insurance is to obtain a high-quality
5. T F Life insurance provides protection against dying too soon, and cash-value life
insurance does this
What do you recommend now page 30. Explain your recommendations to 1 through 5.
1. Na Yeon should participate in her employers plan because her contributions
reduce her taxable income and will gr
1. What do you recommend now
Allysa and Nathan are going to have to have a serious conversation on whether or not that are
going to combine their accounts or not or keep their separate accounts and open a joint
account. If they decide that the
1. WHAT DO YOU RECOMMEND NOW?
Even though Hanna has quite a bit of debt there are two ratio methods that she can
use to figure out how much additional debt she should take on without it being too
much. These two ratio methods are the debt payments-to-disp
Chapter 11: Managing Health Expenses
2. T F Less than 50 percent of Americans are covered by some type of private or
government health care plan.
6. T F Medicare (Part B) requires a monthly premium for coverage.
10. T F Both Medicare
Page 373, What do you recommend now?
It is imperative that Will and Stephanie both take a life insurance needs assessment because now that
they have a baby their life insurance is increased to $1,000,000 combined. While Will was most likely
covered well p
Page 381, What Would You Recommend Now? (There are two typos on page 406 a. Serana and c.
It is apparent that Sarena is doing well when it comes to setting aside money for her retirement but, it is
essential that she realizes that more than 50% of
David and Lisa should sit down together and make a list of the types of vehicles they
wish to look at what accessories they want in addition to the car and the options available
in their area. They can do most of their resea
Page 342, What do you recommend now?
For families that use their health care frequently, such as Danielle's daughter that is prone to
getting ear infections, HMOs work incredibly well. Also, since Danielle's mother had numerous
chronic health conditions i
Page 217, What do you recommend now
Even though Zachary possesses way too many credit cards it would not be beneficial to him to
close them at this time. If he closed them at this point in time his credit score would decrease
since the percentage of the a
Page 281, What do you recommend now?
With Shelby being potentially relocated to another city for a promotion from work in the next couple of
years it is a huge factor she has to consider when thinking about buying a new home. It would be
beneficial to her
Page 539, What Do You Recommend Now?
Both Fernando and Juliana have a long work history and have high levels of income; with this in mind, if
they wait until 67 (the age at which people reach their full Social Security retirement benefit) than they
Chapter 8: Vehicles and Other Major Purchases
13. T False The dealer cost of new vehicles averages about 20 percent less than the
18. T False To compare the two APRs accurately when choosing between low interest