Front

What is the role of the Federal Reserve System?

Back

To conduct monetary policy and regulate banks

Front

How can you develop, evaluate, and modify a spending/savings plan?

Back

By regularly reviewing financial goals and adjusting expenses

Front

What is the purpose of a budget?

Back

To plan for future savings and expenses

Front

Which of the following best describes the differences between banks, credit unions, and other financial institutions?

Back

Banks are for-profit institutions, credit unions are not-for-profit and serve members, and other financial institutions vary in services and regulations.

Front

Fixed expenses are costs that do not change from month to month, whereas variable expenses are costs that can vary depending on use and other factors. True or False?

Back

True

Front

Which of the following is a step in preparing and interpreting financial statements?
Options:
Analyzing business transactions,
Preparing trial balance,
Generating income statement,
All of the above

Back

All of the above

Front

How can you evaluate savings and investment options?

Back

By comparing their interest rates and risks

Front

Where can you find securities information? Options: Stock exchange websites, Financial news websites, Company's official financial reports, All of the above

Back

All of the above

Front

How do various sources of credit differ?

Back

By their interest rates and terms of repayment

Front

What are the advantages and disadvantages of using credit?

Back

Increases purchasing power and improves credit score; Leads to potential debt and financial stress.