Education, Work & Housing: Comparing Feasible Paths — Practice · Grade 12 Social Studies

Chapter: Household Finance & Major Decisions

What this practice covers

By the end of Education, Work & Housing: Comparing Feasible Paths you should be able to:

8 questions, written answer, each with a worked explanation.

Vocabulary used: net price, financing, gross pay, deposit, scenario analysis.

Problem 1

Why does a loan not reduce net price in the same way as a grant?
Answer and explanation

A grant can reduce the amount the student must finance under its conditions, while a loan creates a repayment obligation. Financing $3,000 of a $4,000 net price does not make the education cost $1,000. Distinguish cost from current funding.

Problem 2

Why does the larger remaining weekly amount not settle the work-offer comparison?
Answer and explanation

Hours, commute time, stability, benefits, deductions, and alternatives can differ. The supplied amounts describe one limited measure. A judgment should state priorities and missing information rather than treat a $10 difference as universal superiority.

Problem 3

Why is a deposit relevant even if it may later be returned?
Answer and explanation

It requires resources at entry and may be unavailable during the tenancy. Return depends on terms and conditions. Cash-flow feasibility and ultimate cost are related but different, so label each.

Problem 4

What should a comparison do when key terms are missing?
Answer and explanation

Identify the missing cost, timing, obligation, or uncertainty and explain why it affects feasibility or ranking. Use conditional conclusions and request the relevant written information for a real decision; do not fill gaps with guarantees.

Problem 5

Invented annual education cost $6,000, grant $2,000, loan $3,000; no other resources or charges are supplied. Calculate net price, immediate uncovered amount, and loan obligation.
Answer and explanation

Net price is $4,000. The $3,000 loan finances part of it, leaving $1,000 uncovered under the supplied resources, while creating a $3,000 principal obligation plus any terms not supplied. It does not reduce net price to $1,000. Timing, loan cost, grant conditions, and other expenses remain necessary for a fuller feasibility comparison.

Subtract the grant from cost.

Compare available financing with net price.

Keep borrowed funds separate from price reduction.

Response criteria

  • Explain the relevant institution or economic concept accurately; show correct calculations where needed.
  • Connect supplied evidence and stated assumptions to an explained conclusion.
  • Compare feasible options and their effects on different people without stereotypes.
  • Identify a limitation, tradeoff, uncertainty, or condition that qualifies the conclusion.

Problem 6

Would a program’s average graduate earnings guarantee one student’s earnings?
Answer and explanation

No. Averages and forecasts describe specified groups and conditions. Individual outcomes, completion, location, employment, costs, and timing can differ. Compare definitions and uncertainty without ranking personal worth by a credential.

Response criteria

  • Explain the relevant institution or economic concept accurately; show correct calculations where needed.
  • Connect supplied evidence and stated assumptions to an explained conclusion.
  • Compare feasible options and their effects on different people without stereotypes.
  • Identify a limitation, tradeoff, uncertainty, or condition that qualifies the conclusion.

Problem 7

Invented annual education cost $5,000, grant $1,500, loan $2,000. Calculate net price and uncovered amount.
Answer and explanation

Net price is $3,500; financing covers $2,000 and leaves $1,500 uncovered under the supplied resources. The loan creates an obligation rather than a grant-like price reduction. Other costs, dates, and terms are not supplied.

Response criteria

  • Explain the relevant institution or economic concept accurately; show correct calculations where needed.
  • Connect supplied evidence and stated assumptions to an explained conclusion.
  • Compare feasible options and their effects on different people without stereotypes.
  • Identify a limitation, tradeoff, uncertainty, or condition that qualifies the conclusion.

Problem 8

Invented rent $600 and entry deposit $900, with no other initial charges. Calculate first-month cash need and distinguish it from later recurring rent.
Answer and explanation

Initial need is $1,500, while later monthly rent is $600 under these assumptions. Deposit return and access depend on terms, so its cash constraint differs from guaranteed permanent spending. Utilities and other costs are excluded.

Response criteria

  • Explain the relevant institution or economic concept accurately; show correct calculations where needed.
  • Connect supplied evidence and stated assumptions to an explained conclusion.
  • Compare feasible options and their effects on different people without stereotypes.
  • Identify a limitation, tradeoff, uncertainty, or condition that qualifies the conclusion.

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