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The value of the home you own would be included in which section of your balance sheet?


A) Liquid assets
B) Investment assets
C) Real estate assets
D) Personal possessions
E) Current liabilities

F) D) and E)
G) A) and B)

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A common deduction from a person's paycheck is for:


A) interest.
B) taxes.
C) rent.
D) unemployment.
E) current liabilities.

F) A) and C)
G) None of the above

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A person's net worth would increase as a result of:


A) reduced amounts owed to others.
B) reduced earnings.
C) increased spending for current living expenses.
D) decreased value of personal possessions.
E) decreased value of investments.

F) A) and B)
G) All of the above

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When it comes to savings, most Americans:


A) have an adequate emergency fund.
B) devote large portions of their income to savings.
C) find saving difficult.
D) keep substantial amounts in a regular savings account.
E) reduce the amount they save during their working life.

F) B) and D)
G) B) and E)

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A person's net worth is computed by:


A) adding assets and liabilities.
B) deducting current living expenses from total assets.
C) subtracting total liabilities from total assets.
D) subtracting assets from current liabilities.
E) adding liabilities and budgeted expenses.

F) C) and D)
G) A) and B)

Correct Answer

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