Scenario 1: Rent

Why is good credit important when renting an apartment?

Credit cards can be a convenient and flexible form of payment, but they have to be used responsibly in
order to make the most of your money.

http://www.practicalmoneyskills.com/personalfinance/creditdebt/history/

Approximately, how much does it cost to rent an apartment in your area?

If you are a new grad making about $40,000, youll need $3,000

http://www.myfirstapartment.com/2013/09/getting-your-first-apartment-how-much-money-do-you-
need-to-save-to-move-out/

What happens if you cant pay your rent?

If for some reason you are unable to make the payments, the cosigner will be responsible for making the
payments.

http://www.practicalmoneyskills.com/personalfinance/lifeevents/renting/

How long does an eviction stay on your credit history?

seven years

http://www.practicalmoneyskills.com/personalfinance/creditdebt/history/

Why would you want to have renters insurance?

It works to cover your: Personal possessions coverage for your things (clothes, furniture,
electronicsthat kind of stuff) up to your coverage limit.

http://www.practicalmoneyskills.com/personalfinance/experts/practicalmoneymatters/column
s/rentersInsurance_020808.php

Answer in WORD and attach your document to this assignment.

Scenario 2: PAYCHECK

What is the difference between gross and net income?

net income is the residual amount of earnings after all deductions have been taken from gross pay, such
as payroll taxes, garnishments, and retirement plan contributions.

http://www.fool.com/investing/2016/10/20/3-healthcare-stocks-that-are-looking-cheap.aspx

Why do we pay Social Security taxes?

We use the Social Security taxes you and other workers pay into the system to pay Social Security
benefits.
 http://www.360financialliteracy.org/Topics/Retirement-Planning/Social-
Security/Understanding-Social-Security/(language)/eng-US

What are Medicare taxes for?

As part of your overall payroll taxes, Medicare tax withholding goes to pay for the Medicare Hospital
Insurance (HI) that youll get when youre a senior.

https://smartasset.com/taxes/what-are-medicare-taxes

How much can a high school graduate expect to earn in your area?

a high school graduate makes $28,000 a year,

http://www.politifact.com/georgia/statements/2013/aug/02/don-lemon/educational-levels-
generally-make-difference-earni/

What are the benefits of using direct deposit?

With direct deposit, your money is automatically deposited into your checking account.

With direct deposit, you can have some money go to your checking account to pay your monthly
expenses

If you are on vacation, you dont have to wait until you are back to get your paycheck.

https://www.igrad.com/articles/top-3-advantages-to-using-direct-deposit

Answer in WORD and attach your document to this assignment.

Banzai LS# 3
Scenario 3: Gas N GO

What factors influence your cars fuel economy?

Aggressive driving (speeding, rapid acceleration and braking) can lower your gas mileage by roughly 15%
to 30% at highway speeds and 10% to 40% in stop-and-go traffic.

https://www.fueleconomy.gov/feg/factors.shtml

Answer in WORD and attach your document to this assignment.

Scenario 4: ATM WITHDRAWAL

What is the difference between paying with cash, debit, or credit cards? Discuss the pros and cons of
each form of payment.

https://www.bankofamerica.com/deposits/manage/pay-by-cash-debit-or-credit.go

Answer in WORD and attach your document to this assignment.

Paying with cash

Pros: Using cash can be a great way to avoid overspending. You can choose exactly how much
youre willing to spend and carry that amount with you,

Cons: For some people, cash can burn a hole in their wallets: The temptation can lead to undesired
spending.

Paying by credit card

Pros: For certain purchases, credit cards may be convenient or even necessary.

Cons: Carrying a balance on your credit card will result in interest charges and can harm your credit
score if the balance gets too big.

Choosing Debit
Pros: Like credit cards, debit cards can be used to pay for things in cases where cash is not accepted.
Debit cards also provide easy record keeping.

Cons: Youll want to be aware of your checking account balance before you use your debit card. If you
try to spend more than you have, your purchase may be declined or the bank may charge you an
overdraft fee.

Banzai LS# 3

Scenario 5: FLY AWAY CAF

Why does the total on the receipt differ from the total amount paid?

Because we had to give a tip.

What is an appropriate tip at a restaurant?

0.81

For what other services is tipping appropriate?

Home Delivery, Bartender, Restroom Attendant, Valet, etc.

http://emilypost.com/advice/general-tipping-guide/

Answer in WORD and attach your document to this assignment.

Scenario 6: RITEPRICE GROCERY

What are effective strategies for saving money on groceries (there are 8 strategies)?

Ask for advice. Grocery stores, ethnic markets, dollar stores, retail supercenters, and wholesale clubs can
offer good deals. Ask friends and family where they shop and find their best bargains!
 Eat before you shop. Grocery shopping hungry can lead to impulse buying and unhealthy food choices.

Read the sales flyer. Sales flyers are usually released mid-week and can be found at the stores entrance, in
the newspaper, or on their website.

Use coupons but only for items that you know youll use. If you dont need an item right away, save the
coupon and see if it goes on sale. For more on couponing, check out Save More at the Grocery Store.

Look up and down for savings. Stores often stock the priciest items at eye level. You can save big by
looking at the upper and lower shelves too.

Check for store brands. Most stores offer their own brand of products that often cost less than name
brands.

Grab from the back. Stores typically stock shelves from back to front, placing the newest items behind the
older ones. Reach in the back for the freshest items especially in the produce, dairy, and meat aisles.

Ask for a rain check. If a sale item has run out, ask the store for a rain check. This allows you to pay the
sale price after the item is restocked.
https://www.choosemyplate.gov/budget-save-more

Answer in WORD and attach your document to this assignment.

Scenario 7: Community Spectrum Expo Center

These concert tickets were expensive. What are cheaper sources of entertainment in your area?

1. Free museums. Some paid museums have free days, and some museums are always free. Call around
to the museums in your area and ask. Some also sponsor free outings to local points of interest.

2. Movies. Yes, I said movies. Some community groups, libraries and museums show free movies. Many
towns have a dollar theater that shows first run movies cheap.

3.Go to the park. Whether its a park with a playground (see number 4) or a state park, there are lots of
recreational opportunities at a park ranging from walking/hiking to picnicking to just sitting and reading
or people watching.

http://www.savingadvice.com/articles/2008/04/10/102085_free-or-nearly-free-entertainment.html

Answer in WORD and attach your document to this assignment.

Banzai LS# 3

Scenario 8: MERCY CENTRAL HOSPITAL

What was the impact of going to the emergency room without insurance?

People without health coverage are exposed to these costs. This can sometimes lead people without
coverage into deep debt or even into bankruptcy.

What are the benefits of having medical insurance?

Health insurance covers essential health benefits critical to maintaining your health and treating
illness and accidents

The balance in the Reserves jar is now negative. What does this mean?

It means that you went below $0.00.

https://www.healthcare.gov/why-coverage-is-important/protection-from-high-medical-costs/

Answer in WORD and attach your document to this assignment.

Scenario 9: Amalgamated Bankcard Services

On Banzai: Why are you unable to pay the entire credit card bill?

The credit card company will write you debt off as a loss, which is called a charge-off.

What are the consequences of not making a payment by the due date?

Your credit score will be affected. Your late fee could be up to $25, or $35 if you've been late another
time in the previous six months.

http://www.consumerfinance.gov/about-us/blog/how-do-i-shop-for-a-credit-card/

What is a grace period?

The grace period is the gap between when your credit cards billing cycle closes and when the bill comes
due.

https://www.nerdwallet.com/blog/credit-cards/credit-card-grace-period/

What if you ONLY made minimum payments on the entire $585 balance?

24.99% interest with a minimum payment of $20 .00

It would be a low cost because the number of months would increase.

https://www.practicalmoneyskills.com/calculators/calculate/costOfCredit.php?calcCategory=debt

Answer in WORD and attach your document to this assignment.

Banzai LS# 10

Scenario 10: City Parking Authority

You write a check for $25.00, but theres only $2.21 in your bank account. What does this mean?

You will have overdraft fees.

http://financeintheclassroom.org/passport/downloads/GettingKeepingCheckingAccount.pdf

Answer in WORD and attach your document to this assignment.

Banzai LS# 11

Scenario 11: OVERDRAFT FEE

Why are you charged an overdraft fee?

An overdraft occurs when money is withdrawn from a bank account and the available balance goes below
zero.
The bank could have bounced the check instead. What would have happened then?

You would have to pay them back sooner or later. If not then you will have to pay them even more.

https://occ.gov/static/news-issuances/news-releases/2004/nr-ia-2004-95-brochure.pdf

Answer in WORD and attach your document to this assignment.

Banzai LS# 12

Scenario 12: PAYCHECK

Watch the video on the link!

What is a W-4?
A form completed by an employee to indicate his or her tax situation (exemptions, status, etc.) to the
employer. The W-4 form tells the employer the correct amount of tax to withhold from an employee's
paycheck.

What happens if you ask your employer to withhold too much?

The number of allowances you claim will increase or decrease how much is withheld.

https://www.irs.gov/individuals/irs-withholding-calculator

Answer in WORD and attach your document to this assignment.

Banzai LS# 13

Scenario 13: ATM Withdrawal

What is an ATM?

An automated teller machine (ATM) is an electronic banking outlet, which allows customers to
complete basic transactions without the aid of a branch representative or teller. Anyone with a
credit card or debit card can access most ATMs.
How do you avoid fees?
Download your bank's mobile app, if you haven't already. Chances are it contains a feature that lets you
see nearby branch or ATMs that wont charge a fee.

http://money.usnews.com/money/blogs/my-money/2014/05/02/how-you-can-avoid-rising-atm-fees

Answer in WORD and attach your document to this assignment.

Banzai LS# 14

Scenario 14: Our Town Convenience Store

Is gasoline tax the same, higher, or lower than sales tax?

Its lower than sales tax.

http://www.gaspricewatch.com/web_gas_taxes.php

Answer in WORD and attach your document to this assignment.

Banzai LS# 15

Scenario 15: BANK STATEMENT

According to the Banzai scenario Why doesnt the bank statement show all of your checking account
transactions?

Because of minor transactions. Thats why the bank doesnt show all of your checking account
transactions.

Which transactions are missing from this statement?

ATM withdrawal and fee.

How can you verify the current balance of your account?

You can verify the current balance of your account by making a debit entry, calling your bank, or
checking your bank online.
https://www.linnareacu.org/learn-plan/financial-basics/balancing-your-checkbook/

https://wallethub.com/edu/how-to-balance-a-checkbook/13769/#how

Answer in WORD and attach your document to this assignment.

Banzai LS# 16

Scenario 16: Tax Refund

What might you do with a tax refund?

After establishing an emergency fund, the next best thing you can do with your tax refund is
reduce or eliminate any high-interest debt that youre carrying.
What are the benefits of an emergency fund?
Many experts say that your fund should contain about six to eight months worth of savings in an easily
accessible interest-bearing account (such as an online savings account or money market account).

How large should your emergency fund be?

About six to eight months

http://www.practicalmoneyskills.com/personalfinance/experts/practicalmoneymatters/columns/20090
227_tax_refund.php

Answer in WORD and attach your document to this assignment.

Banzai LS# 17

Scenario 17: TRADER MOES

Higher-quality food costs more. What are some ways to eat healthily on a budget?

Junk food is the cheapest, but is it the best choice?

Make a grocery list (and stick to it). By heading to the store with a clear list of what's necessary,
it's much easier to avoid last-minute purchases. And no junk food is NOT the best choice.
http://greatist.com/health/22-cheap-and-easy-ways-eat-healthy

Answer in WORD and attach your document to this assignment.

Banzai LS# 18

Scenario 18: Auto loan

Use Banzai Life Scenario: How was the monthly interest payment on the auto loan calculated?
The monthly interest payment on the auro loan was calculated based on annual percentage rate. The
total is multiplied by the annual interest rate and divided by the number of months there are in a year.

How was the monthly principal payment calculated?

How long will it take for you to pay off this car, and how much will you be paying in interest over the life
of this loan?

It will take 5 years. You will be paying 2,454.80

http://www.practicalmoneyskills.com/calculators/calculate/howMuchWillMyLoanCost.php?calcCategor
y=loans

What happens if you fail to make your auto loan payments?

your vehicle may be repossessed, which will be a huge ding on your credit,
https://www.credit.com/loans/loan-articles/what-to-do-if-you-cant-make-your-car-payments/

What happens when you have a poor credit score?

While having bad credit can make it very difficult to get a car loan, it is not entirely impossible

http://www.dmv.org/buy-sell/auto-loans/bad-credit-auto-loan.php

Answer in WORD and attach your document to this assignment.

Banzai LS# 19

Scenario 19: Paycheck

Rolands Bookstore pays its employees weekly. On what

other pay schedules do employers operate?

Semi-monthly and monthly

https://www.paycheckcity.com/pages/article.php?page=All-About-Pay-Schedules

Answer in WORD and attach your document to this assignment.

Banzai LS# 20

Scenario 20: Twin Oaks Factory Outlets

Buying clothing is fun, but also expensive. What are ways to get quality clothing for less?

1.Going to another store and maybe finding the same outfit for another price.

2.You could go to a yard sale, thrifts stores, or even host a clothing stop.

http://www.in.gov/dfi/debitvcr.pdf
http://thehomesteadinghippy.com/4-ways-quality-clothing-cheap-free/

Answer in WORD and attach your document to this assignment.

Banzai LS# 21

Scenario 21: Aristotles Garden

It can be difficult to eat healthily while traveling. What are ways to avoid eating a junk food during trips?

1. Bring Your Own Snacks

2. Plan where youre going to stop

http://www.helpguide.org/articles/healthy-eating/healthy-fast-food.htm

https://spoonuniversity.com/lifestyle/how-to-avoid-the-road-trip-junk-food-binge/

Answer in WORD and attach your document to this assignment.

Banzai LS# 22

Scenario 22: Tesla Electric Company

Many people are surprised when they see the utility bill for a new home or apartment. How can you
reduce the amount you pay each month?

Not leaving the lights on, the faucets, or water running.

https://www.energystar.gov/

Answer in WORD and attach your document to this assignment.

Banzai LS# 23

Scenario 23: The Hit N Run Truckstop

Transportation costs (fuel, maintenance, etc.) are among the top expenses for young people. How can
you keep from going broke when you need a car?

Keep on working hard until you earn that amount.

http://www.autolablibertyville.com/auto-preventive-maintenance/5-ways-to-save-money-by-
maintaining-your-car/

Answer in WORD and attach your document to this assignment.

Banzai LS# 24
Scenario 24: Horizon Wireless Going over your minutes is expensive. How can you avoid that mistake?

Every plan has a amount of offers it gives for texts, voice message, calls, and data. Because usage can go
down quickly, it is important to keep an eye on it at all times.

http://www.ctia.org/your-wireless-life/know-your-wireless-devices-plans/how-to-read-your-monthly-
wireless-bill

Answer in WORD and attach your document to this assignment.

Banzai LS# 25

Scenario 25: Paycheck

Rolands Bookstore pays you an hourly wage. What other forms of pay can employees receive?

Paycheck

http://work.chron.com/ways-paid-other-salary-wages-30836.html

Answer in WORD and attach your document to this assignment.

Banzai LS# 26

Scenario 26: Super-Mart

What is sales tax used for?

Most sales tax revenue goes to the state or city general fund, where it pays for services such as
education. Some goes to special purposes, such as the arts.

http://www.mlive.com/politics/index.ssf/2013/02/michigan_sales_tax_where_does.html

Answer in WORD and attach your document to this assignment.

Banzai LS# 27

Scenario 27: Bank Statement

Use Banzai: Which transaction is missing from this statement?

The missing transaction is Check number 104.

Why doesnt this check appear on the statement?

The check does not appear because it was deposited.

Your checking statement says you have $867.40 available in your account. Banzai says you have
$659.80. Which is right?
My Checking Account, which is $867.40

https://answers.suntrust.com/articles/sn1100-What-is-the-difference-between-my-current-balance-my-
available-balance-and-my-collected-balance

Answer in WORD and attach your document to this assignment.

Banzai LS# 28

Scenario 28: Always-Safe Insurance

Why is it important to be personally insured?

Insurance is important because it protects a person or entity from extreme financial loss or responsibility due
to an unfortunate emergency, accident or negative unforeseen event.

https://www.esurance.com/info/car/5-reasons-you-need-car-insurance

What are the penalties for driving without auto insurance?

The penalties for driving without insurance are hard core. For a first time offense, the fines are $300 to
$1000, and a loss of your license for 1 year. Additionally, you will have to pay surcharges for three years
in the amount of $250 per year.

https://www.valuepenguin.com/auto-insurance/michigan/penalties-driving-without-insurance

https://www.esurance.com/info/car/the-costs-of-driving-uninsured

What is the difference between liability and collision insurance?

Liability insurance is the bare-bone auto coverage that protects other people and their properties if you
cause an accident.

Collision, as the name says, protects your car in case you hit other vehicles, people or non-moving
objects like fences, poles or kiosks. It will cover you, regardless of who was at fault in an accident. As a
side note, collision with animals isnt covered by this type of insurance.

https://www.sapling.com/8348059/difference-between-liability-collision-insurance

Answer in WORD and attach your document to this assignment.

Banzai LS# 29

Scenario 29: Diegos Taco Shop

Compulsion or addiction spending is ruin some. How much could a bad habit really cost you?

Bad can habits can risk your life!!! Not only you can risk your life you can also risk not getting a job and
not being able to pay your taxes. If you have an addiction tell your doctors.

A bad habit can cost you about 1,000 and up.

http://www.drugfree.org/news-service/nicotine-addiction-costs-2000-annually/

Answer in WORD and attach your document to this assignment.

Banzai LS# 30

Scenario 30: Amalgamated Bankcard Services

Use Banzai: Because you made only the minimum payment, there was an interest charge on this bill.
How can avoid this in the future?

How is the minimum payment calculated?

The minimum payment on credit card debt is calculated as a percentage of your total current balance, or
as all interest plus 1 percent of the principal.

http://www.bankrate.com/calculators/credit-cards/credit-card-minimum-payment.aspx

The total balance on this credit card is $442.42. How long will it take you to pay the card off in full if you
only pay the minimum monthly payment of $20?

24 months in total. You will also be charged 64.06 in interest

https://www.practicalmoneyskills.com/calculators/calculate/costOfCredit.php?calcCategory=debt

Answer in WORD and attach your document to this assignment.