Create successful ePaper yourself
Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.
Treasury bond rate<br />
corporate bond<br />
<strong>BUSN</strong> <strong>380</strong> DeVry Week 3 Quiz Latest<br />
1. Question : (TCO 3) Examples of _____ include automobile and installment loans for purchasing<br />
furniture or appliances.<br />
<br />
<br />
<br />
<br />
<br />
a line of credit<br />
a credit card loan<br />
open-end credit<br />
closed-end credit<br />
convenience credit<br />
Question 2. Question : (TCO 3) The maximum percentage of your net income that should be spent on<br />
credit purchases is recommended to be _____.<br />
10%<br />
20%<br />
30%<br />
40%<br />
50%<br />
Question 3. Question : (TCO 3) One of the concerns and risks associated with cosigning is that<br />
<br />
<br />
<br />
<br />
<br />
you are not being asked to guarantee the debt.<br />
it is not your legal responsibility to pay the debt.<br />
you’ll have to pay up to the full amount of the debt if the borrower does not pay.<br />
the creditor must first try to collect from the borrower.<br />
the creditor cannot garnish your wages.<br />
Question 4. Question : (TCO 3) Dividing monthly debt payments (not including house payments) by net<br />
monthly income will allow you to calculate your _____.<br />
<br />
<br />
<br />
<br />
<br />
net-worth-to-debt ratio<br />
debt-payments-to-income ratio<br />
liability status<br />
credit capacity status<br />
income-to-liability ratio<br />
Question 5. Question : (TCO 3) In determining your credit capacity, you first provide for basic<br />
necessities, such as<br />
<br />
<br />
<br />
furniture.<br />
home furnishings.<br />
mortgage or rent.
Change language