Ch. 2 Budgeting TEST

Front

What is the best way to budget?

Back

The way that works best for you.

Front

What percentage of Americans actually use a budget?

Back

35%.

Front

Why is tracking your expenses throughout the month important?

Back

It gives you insight into whether you're sticking to the budget you set.

Front

Which of the following is NOT a component of a budget: Credit score, Saving, Income, Giving?

Back

Credit score.

Front

What should you do if you overspend in one category of your budget?

Back

Adjust your budget by removing money from other spending categories.

Front

Define budgeting.

Back

Budgeting is the process of creating a plan to spend your money, ensuring you have enough for necessary expenses while saving for future goals.

Front

What are the main components of a budget?

Back

Income, expenses, savings, and giving.

Front

Why is it important to have a budget?

Back

A budget helps you manage your money, avoid overspending, and achieve financial goals.

Front

What is a digital budgeting app?

Back

A digital budgeting app is a software application that helps users track their income and expenses, often providing tools for analysis and planning.

Front

What is the purpose of tracking expenses?

Back

To understand spending habits and ensure adherence to the budget.