Prepare for the Certified Occupancy Specialist (COS) Exam with a comprehensive set of flashcards and multiple-choice questions. Each question includes hints and clear explanations to help you master the material. Ensure your success on the COS test!

Multiple Choice

Which of the following is an asset included in annual income calculations?

Assets counted for annual income calculations are those that can generate income for the household. Savings accounts are included because they hold funds that can earn interest, which is counted toward annual asset income. Checking accounts are cash resources used daily and aren’t treated the same way for asset income, while credit cards are not assets and loans are liabilities. So savings accounts are included in the asset calculation for annual income purposes.

Assets counted for annual income calculations are those that can generate income for the household. Savings accounts are included because they hold funds that can earn interest, which is counted toward annual asset income. Checking accounts are cash resources used daily and aren’t treated the same way for asset income, while credit cards are not assets and loans are liabilities. So savings accounts are included in the asset calculation for annual income purposes.