Question

Which of the following is not a long term debt?

Paying off your credit card each month

Taking out a 15 year fixed rate mortgage

Financing an automobile purchase with a 36 month loan

Financing your college education with a 30 year loan


Your friend is confused about types of debts. Which of the following would most likely help his financial portfolio by adding an appreciating asset?

boat loan

car loan

mortgage

none of the above


Which of the following financing options has the least (future) obligation from the student?

scholarship

loan

work study


Which is something you should consider before taking a loan out for college?

interest rate

income potential

length of the loan

all of the above

Answer 1

1. Paying off your credit card each month

2. Mortgage

3. ?

4. All of the above

I'm not sure about the 3rd question.