Personal Finance 12th Edition by E. Thomas Garman – Test Bank

Guide for Personal Finance 12th Edition by E. Thomas Garman

1. ISBN-10

   1133595839
2. ISBN-13

   978-1133595830

   Personal Finance 12E delivers an intelligent, student-friendly primer on managing personal finances. By employing a systematic approach, this top-selling text aids students in understanding savings and investments, handling student loans, filing taxes, reducing credit card debt, and planning for the future. Real-life scenarios, addressing a variety of financial challenges, allow students to grasp the significance of fundamental concepts, and practical advice from financial experts assists them in applying these principles to their own lives. Numerous math-based examples vividly demonstrate the critical importance of achieving long-term financial goals through investing. Building upon the achievements of previous editions, the new Twelfth Edition keeps students engaged and directs their focus on crucial concepts required for success in class and effective financial management throughout their lifetimes.

   Summary

   1. The most evident financial loss related to health is the necessity for income replacement when one cannot work.
   A. True
   B. False
   ANSWER: False
   POINTS: 1
   DIFFICULTY: Easy
   REFERENCES: Explain the Functioning of Affordable Care Act, and How Consumers Shop And Pay For Health Insurance
   KEYWORDS: Bloom’s: Understanding
   OTHER: Analytic
   NOTES: 11.1

   2. Less than half of individuals are covered by some form of private or government health care program.
   A. True
   B. False
   ANSWER: False
   POINTS: 1
   DIFFICULTY: Moderate
   REFERENCES: Explain the Functioning of Affordable Care Act, and How Consumers Shop And Pay For Health Insurance
   KEYWORDS: Bloom’s: Remembering
   OTHER: Analytic
   NOTES: 11.1

   3. The official name of the 2010 Health Insurance Reform Law is Obamacare.
   A. True
   B. False
   ANSWER: False
   POINTS: 1
   DIFFICULTY: Easy
   REFERENCES: Explain the Functioning of Affordable Care Act, and How Consumers Shop And Pay For Health Insurance
   KEYWORDS: Bloom’s: Remembering
   OTHER: Analytic
   NOTES: 11.1

   4. It is increasingly common for health care plans to offer lower costs to individuals practicing a healthy lifestyle.
   A. True
   B. False
   ANSWER: True
   POINTS: 1
   DIFFICULTY: Easy
   REFERENCES: Explain the Functioning of Affordable Care Act, and How Consumers Shop And Pay For Health Insurance
   KEYWORDS: Bloom’s: Understanding
   OTHER: Analytic
   NOTES: 11.1

   5. The USA allocates a higher percentage of its Gross Domestic Product than any other country.
   A. True
   B. False
   ANSWER: True
   POINTS: 1
   DIFFICULTY: Easy
   REFERENCES: Explain the Functioning of Affordable Care Act, and How Consumers Shop And Pay For Health Insurance
   KEYWORDS: Bloom’s: Remembering
   OTHER: Analytic
   NOTES: 11.1

   6. Young adults can remain on a parental health care plan until the age of 22 or upon graduation from college, whichever comes first.
   A. True
   B. False
   ANSWER: False
   POINTS: 1
   DIFFICULTY: Moderate
   REFERENCES: Explain the Functioning of Affordable Care Act, and How Consumers Shop And Pay For Health Insurance
   KEYWORDS: Bloom’s: Remembering
   OTHER: Analytic
   NOTES: 11.1
   They can remain on a parent’s plan until age 26, regardless of their enrollment status in college.

   7. A group health care plan is acquired collectively for an entire group of individuals rather than individual coverage.
   A. True
   B. False
   ANSWER: True
   POINTS: 1
   DIFFICULTY: Easy
   REFERENCES: Differentiating Among the Types of Health Care Plans
   KEYWORDS: Bloom’s: Remembering
   OTHER: Analytic
   NOTES: 11.2

   8. Medicare is not the sole federal health care program currently in effect.
   A. True
   B. False
   ANSWER: False
   POINTS: 1
   DIFFICULTY: Moderate
   REFERENCES: Differentiating Among the Types of Health Care Plans
   KEYWORDS: Bloom’s: Remembering
   OTHER: Analytic
   NOTES: 11.2
   The Medicaid program is also offered.

   9. Opting for a Medicare plan through a private agency that combines Medicare Parts A and B into a single plan known as a Medicare Advantage Plan can enhance health care benefits.
   A. True
   B. False
   ANSWER: True
   POINTS: 1
   DIFFICULTY: Moderate
   REFERENCES: Differentiating Among the Types of Health Care Plans
   KEYWORDS: Bloom’s: Understanding
   OTHER: Analytic
   NOTES: 11.2

   10. Medicare (Part B) entails a monthly premium for coverage.
   A. True
   B. False
   ANSWER: True
   POINTS: 1
   DIFFICULTY: Moderate
   REFERENCES: Differentiating Among the Types of Health Care Plans
   OTHER: Analytic
   NOTES: 11.2