How Do School Vouchers Work

question 16

Multiple Choice

How do school vouchers work?

• A) They allow schools to allocate resources according to their own assessments of where funding is needed.
• B) They allow parents to behave more like consumers. They can transfer from a low-performing to a more successful school, and the funding should follow the student.
• C) They allow schools to trade and transfer students to even out challenging student groups vs. high-performing student groups.
• D) They provide full school choice for parents to use for whatever reason and to enroll their children in whatever school they prefer for public education.

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Definitions:

Semiannual Interest

Interest on a loan or security that is calculated and paid twice a year.

Straight-line Method

A depreciation technique that allocates an equal amount of depreciation each year over an asset's useful life.

Times Interest Earned Ratio

A financial metric used to determine how well a company can meet its interest obligations based on current earnings.

Potential Creditors

Individuals or institutions that may lend money or extend credit to a company or individual.