Chapter 1 Test

Front

Banks got into the credit business before 1920 because charging exceptionally high interest rates was legal.

Back

True

Front

You should always make sure you have a…

Back

Budget

Front

To gain an understanding of your personal finances, you should know . . .

Back

Where you stand financially, how much income you have, what goals you want to set, and how you’ll reach those goals

Front

What is The First Foundation?

Back

Save a $500 emergency fund.

Front

Being a spender has many more positives than being a saver.

Back

True

Front

Avoiding debt can give you financial peace and a sense of hope for the future.

Back

True

Front

To know your net worth, subtract your liabilities from your ______.

Back

Assets

Front

What is financial literacy?

Back

The knowledge and skill base necessary for people to be informed consumers and manage their finances effectively.

Front

What is the best way to avoid running out of money too quickly?

Back

You can make it a habit to plan and set goals for your money.

Front

Is it possible to pay for college with cash?

Back

True