Chapter 19: Managing Your Money

1. What is the term for a plan for saving and spending money based on your income and expenses?

• Cash Flow
• Business Plan
• Budget
• Taxes

2. Expenses that change each month are called...

• Fixed
• Flexible
• Income
• Actual Expenses

3. Developing a strategy to meet present and long-term financial needs is called...

• Investing
• Strategizing
• Financial Planning
• Saving

4. The first step in making a budget is to...

• Keep records of your spending 
• Decide on your goals
• Increase your income
• Decrease your expenses

5. An example of a fixed expense is...

• Concert Tickets
• Rent and Car Payments
• Clothing and Magazines
• Medical Costs

6. An example of flexible expense is...

• Car Payments
• Rent
• Clothing
• Insurance

7. Financial records are only useful if they are...

• Handwritten
• Filed Alphabetically
• Computerized
• Reviewed Regularly

8. Your income should be...

• Less than you spend
• Two times more than your spend
• At least as much as you spend
• Half as much as you spend

9. As you move toward adulthood, your financial responsibility...

• Increases
• Decreases
• Stays the same
• Is not important

10. Your financial plan may require change if you...

• Get married
• Change jobs
• Experience Inflation or Recession
• Any of these things