Smart Shopping

Smart Shopping review

Home and Career Skills

Learning outcome: I can review terms in smart shopping by reviewing vocabulary and taking a short quiz

• Warm Up: What is something that you 'want'?

Vocabulary

• ^{Budget: a plan for spending or saving money that is made up of income and expenses}

• ^{Income: money you earn, like money you may get from your birthday or allowance from you parents}

• ^{Income tax: tax on the amount of money you earn that is paid to the federal} 

• ^{Need: when referring to budgeting, a need is an expense that you can’t live without}

• ^{Opportunity cost: the next best alternative that was given up by making a certain decision}

Continued

• Sales tax: the tax you pay to the state or local government when purchasing an item. Sales tax differs by state and not all states have a sales tax.

• Salary: a fixed payment, usually paid on a weekly or bi-weekly basis that does not vary depending on how little or how much you work

Open Ended

Which of these is NOT an example of a need?

Multiple Choice

Which of these is NOT an example of a need?

• Water

• Cell phone

• Food

• Shelter

Multiple Choice

Arturo has an opportunity to buy a video game from his friend for $18. How can Arturo BEST adjust his budget so that he can afford the game?

• Do not buy gum and trading cards.

• Do not buy lunch at school.

• Do not buy movie tickets and gum.

• Do not buy popcorn at the movies.

Multiple Choice

Arturo earned $100 last month from his afternoon babysitting job. The table shows Arturo’s budget. Which is a true statement about Arturo’s budget?

• Arturo’s budget is not balanced because his expenses exceed his income.

• Arturo will have a surplus because he plans to spend less than he earned.

• Arturo’s budget is not balanced because he will spend all of his money.

• Arturo’s budget is balanced because his expenses equal his income.

Multiple Choice

Martina’s checks for last month are shown in this table. At the end of the month, Martina was $15 overdrawn at the bank. Which action would BEST help Martina avoid being overdrawn again next month?

• Do not use any electricity for one month.

• Do not wash clothes in order to save water.

• Do not pay for home insurance until next month.

• Switch to a less expensive phone plan.

Multiple Choice

Leon listed some expenses from last month on this table. Which of the following is a fixed expense?

• Gifts for friends

• Sodas

• Car payment

• Sports tickets

Multiple Choice

As part of his budget, a business owner puts aside $3,000 every week for employee salaries. He currently has 10 employees and pays them each $400 per week. What does he need to do to help keep the salaries he pays each week at a total of $3,000?

• He needs to increase the total amount of money he pays each employee by $100 per week.

• He needs to increase the total amount of money he pays each employee by $50 per week.

• He needs to decrease the total amount of money he pays each employee by $50 per week.

• He needs to decrease the total amount of money he pays each employee by $100 per week.

Multiple Choice

Jane takes home $3,500 every month from her job. She uses $1,800 of that money to pay for her rent and her car payment, $300 for her credit card payment and $100 for her savings account. In order to make sure that she keeps her budget balanced for her month, what is the most amount of money that she can spend for the rest of the month?

• $1,100

• $1,300

• $800

• $1,200

Multiple Choice

Morgan used the ledger below to track her income and expenses for September.

Which is a true statement about Morgan’s income and expenses for September?

• Morgan spent $10 more than she earned.

• Morgan’s income and expenses were equal.

• Morgan earned $10 more than she spent.

• Morgan’s total income was $10.

Multiple Choice

Tina earned $15 doing laundry and $9 washing the car last month. She created a balanced budget for her earnings. Which table could show Tina’s budget?

Multiple Choice

A spending-and-savings plan, based on estimated income and expenses for an individual or an organization, covering a specific time period.

• Choice

• Budget

• Consumers

• Opportunity cost

Multiple Choice

Michael has been invited by a friend to go fishing on Friday. His parents are going to a concert. Michael chooses to go fishing with his friend. What is his opportunity cost?

• fishing with a friend

• going to a concert

Multiple Choice

Alex is studying for his math quiz, but his favorite TV show just started. If he studies for the quiz, he will miss out on watching the show. Alex decides not to watch the show and continue studying for the quiz. What is the opportunity cost of his decision?

• studying for a quiz

• eating dinner

• watching TV

• taking a nap