TRUE OR FALSE.

1. Effective Marginal Tax Rate is a collective rate that includes federal, state, local, and other marginal tax rates.

2. In practice, the stated interest rate quoted by lenders may not be exactly the same as the Annual Percentage Rate

3. Regressive taxes are those taxes which decrease as the base on which they are imposed decreases.

4. A credit worthiness is determined by both, the lender and borrower.

5. The total amount financed thru a car loan is equal to the value of the top part of the car payment formula.

6. Although our values are moral in nature, they most likely have a significant impact on our financial planning.

7. The essence of using credit is to expand the current consumption.

8. A prepayment penalty is determined by recalculating the remaining interest on the loan.

9. Although the APR is the annual percentage rate of interest, it could be different from the nominal rate of interest in the same loan.

10. We usually pay taxes on part, not all of our income.