Mid-Chapter Review 7. \\ Match each person with the action you suggest. Person Action Giselle wants to buy gas for Get a personal loan. her car trip. Randall is buying a car. Get a line of credit. Cam is starting a business. Use a credit card. 8. & Georgina has a landscaping business in Red Deer. She plans to buy a ride-on mower for her business. . She needs $2500 in credit. What are the choices Georgina has for using credit for her business? 9. 3 Harald sells industrial paint. He drives from Calgary to Lethbridge once each week. He needs to borrow money to repair his car's transmission, but does not want to use a credit card. He will be paid at the end of the month. Which type of loan should Harald get? Explain. 10. X Cindy has from three to seven overdraft transactions per month. Each transaction costs $3.50, plus interest. She is going to apply for a personal line of credit. Do you agree with Cindy's decision? Explain why or why not.Unit z Chapter Review 1. a) Name two different types of financial institutions in Canada. b) What are two similar services they provide? c) What are two different services they provide? 2. Why is a tax-free savings account better than a regular savings account? 3. Ed's balance in his savings account was $650 on June 1. On June 10 he made a deposit of $200. His account pays 2%/yr, compounded daily and paid monthly. How much interest did he earn this month? 4. Think of a date that is important to you. Explain why. Use the date to create three different PINs. 5. a) Name three expenses that are fixed each month. b) Name three expenses that are variable each month. 6. What are some ways that a debit card can be used? Apprenticeship and Workplace 11 NELc) Which of the expenses you listed in Part a) or b) are recurring? Explain. enelilb culum 22 X Trista is a dental assistant. She has a net annual income of $34 161.31. She has these monthly expenses: rent $1300.00 utilities $ 75.00 phone and cable $ 215.00 car insurance $ 140.00 medical insurance $ 59.00 savings $ 100.00 food $ 400.00 transportation (gas and maintenance) $ 100.00 clothing $ 200.00 dental $ 100.00 entertainment 1380 saw inwoods aphive $ 300.00 household $ 150.00 vacation $ 200.00 a) Create a spreadsheet budget for Trista. b) Does Trista have a surplus or deficit? How much is it? c) What could Trista do to improve her financial position? d) Trista's dad gave her this advice: spend $75 less each month on food, spend $75 less each month on clothes, spend $200 less each month on entertainment, and get a part-time job for $10/h. How many additional hours must Trista work at the part-time job each month to get out of debt under this plan? NEL Chapter 8 Managing Money 24Mid-Chapter Review 11. Laura and Mark are buying their first home. List the types of financial institutions they could use to get their mortgage. 12. Laverne is saving to buy a new car. She plans to put 25% of every paycheque in the bank. She may need to withdraw some of the money once or twice a month. a) Which account would you advise Laverne to use? b) Describe the account. c) Explain why you suggested the account. girl seu cl begin to no() 13. Aziz is saving to buy a high-end computer gaming system. His savings account pays 1.5%/yr interest, compounded daily. Complete the chart to determine his month-end interest. Number Interest Date Deposit Balance of days earned Oct. 1 $2800 4 $0.46 Oct. 5 $320 7 Oct. 12 $200 Oct. 20 $410 Oct. 31 Total interest earned 14. Marla used an independent ATM 3 times in a month. The charge was $3.75 for each transaction. a) How much did this cost? b) Suppose Marla continued these transactions at the same rate for a year. What would it cost? HEL Chapter 8 Managing Money