1. Why is a line of credit more advantageous than an instalment loan?

1. The amount repaid can be reborrowed

2. Payments are fixed and predictable

3. The repayment period is longer

4. The interest rate is fixed and predictable

2. What amounts are received tax-free by the beneficiaries of a Registered Education Savings Plan (RESP)?

1. Refund of contributions
2. The Canada Learning Bond (CLB)
3. Investment income earned on RESP investments
4. The Canada Education Savings Grant (CESG)

3. Which statement is incorrect with regard to the tuition amount?

1. If the student has no taxes payable, (s)he can opt to have the excess tuition amount refunded by filing a tax return.

2. The tuition amount can be carried forward by the student indefinitely.

3. The tuition amount is ony available for post-secondary education at a qualifying institution.

4. The student's taxes payable must be reduced to zero before the tuition amount can be transferred.