Directions:
There are four reading passages in this part. Each passage is followed by five questions. For each question there are four suggested answers marked A, B, C and D. Choose one best answer and blacken the corresponding letter on the Answer Sheet.
Passage One
Students enrolled at least half time may borrow up to $3,000 form the government over a two-year period. Repayment of the loan begins six months after the student leaves school. These loans carry on interest until this time. The current interest rate is 5 percent. Students may borrow up to $4,500 annually from a bank, credit union, savings and loan association or other eligible lender. Repayment on these loans usually begins six months after the student leaves school. These loans carry no interest until this time. This current interest rate is 9 percent. Parents may borrow up to $300 annually for each dependent college. Repayment begins forty-five days after receiving the loan, and the interest rate is 12 percent.
61. Which of the following is the main purpose?
To remind students and their families to repay their loan.
To compare interest rates.
To inform students and parents of the various loans available.
To show that government loans charge the least interest.
62. The highest interest rate is charged to _______.
A. full-time students B. parents
C. students borrowing from a credit union D. half-time students
63. If parents had three children in college how much could they borrow annually?
A. 900 B. 3,000 C. 300 D. 9,000
64. According to the passage which of the following is true.
The government lends students enrolled at least half time up to 3,000 annually.
Students may borrow up to $4,500 annually from four sources.
Students enrolled less than half time may borrow money.
The current interest rate from banks is 5 percent.
65. It can be inferred from the passage that _______.
the student’s school determines who is an eligible lender
money is available for student loans
students need not be enrolled half time to borrow money
the interest rate on student loans is increasing
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