(a) 62 (b) 66 (c) 70 (d) 75
2. Who pays the majority of long-term care expenses?
(a) Medicare (b) Medicaid (c) long-term care insurance (d) individuals
3. True or false: Medicare typically pays for a nursing home for one year.
4. In order to avoid a penalty, you must begin taking distributions from your IRA in the year you attain what age?
(a) 55 (b) 59 and a half (c) 65 (d) 70 and a half
5. Which of the following long-term bonds typically has the highest yield?
(a) triple-A-rated corporate bonds (b) B-rated corporate bonds (c) treasury bonds
6. Suppose your savings account pays you 2 percent a year and inflation is running at 4 percent a year. After one year, you will be able to buy:
(a) more (b) less (c) exactly the same amount.
7. Most experts agree that the best way to protect against inflation is to have a diversified portfolio of what?
(a) stocks (b) bonds (c) bank CDs
8. True or false: Buying a single stock is usually safer than a stock mutual fund.
9. If 100 percent of a mutual fund’s assets are invested in long-term bonds, and interest rates go up substantially, what will happen to the value of the fund?
(a) It will go up substantially. (b) It will drop substantially. (c) It won’t change at all.
Answers are here.