Which of the following is a true statement about retirement planning? Homework Help

Submitted by Alsenan, Ghader (alseng2266) on 4/20/2013 2:05:23 PM

Points Awarded                7.00

Points Missed    3.00

Percentage         70.0%

1.

Which of the following is a true statement about retirement planning?

A) You can expect to spend about 16 to 30 years in retirement.

B) It’s never too early to begin planning for retirement.

C) You should not let your 45th birthday roll by without a comprehensive retirement plan.

D) Retirement planning has both emotional and financial components.

E) All of the other statements are true.

2.

Which statement is most likely correct about retirement planning?

A) Social Security will cover most of your expenses.

B) Your employer’s pension combined with your Social Security will cover your retirement expenses.

C) Most retirees don’t need to worry about inflation.

D) Your pension may remain constant even in an inflationary environment.

E) Your living costs will remain constant once you retire.

3.

You can determine your net worth by:

A) subtracting your assets from your liabilities.

B) subtracting the value of your home from the mortgage balance.

C) aIDing your liabilities and assets.

D) subtracting your liabilities from your assets.

E) aIDing the value of your home to that of your other assets.

4.

Which statement is correct regarding retirement living expenses?

A) It is impossible to estimate your spending needs.

B) Your spending patterns will probably not change.

C) You’ll use a smaller amount of money for food, housing, and medical care.

D) The exact amount of money you’ll need is impossible to predict.

E) Work-related expenses, such as driving back and forth to work, tend to be higher during retirement.

5.

Which one of the following expenditures for retirees is most likely to increase?

A) health care

B) federal income taxes

C) clothing expenses

D) work-related expenses