Making Money Decisions

Which are reasons to save money?

• To have money in case of an unpredicted expense
• To buy something I want
• To have a sense of well being and not worry about money
• All of the above

Savings provides money for:

• Emergency expenses
• Unplanned expenses next year
• Expenses in 5 years
• All of the above

Which of the following is NOT a spending plan category:

• Transportation
• Entertainment
• Candy Bars
• Clothing

Which of the following is a responsible spending practice?

• Spending more money than I have planned
• Buying an item that looks good to me, even if I do not need it
• Buying an item that is included in my spending plan
• Always shopping at the most expensive stores

Keeping records...

• Helps me know what I spent
• Helps me stay within my spending plan
• Makes me more responsible
• All of the above

The amount of savings recommended to be financially secure

• 1 month of expenses
• 3 months of expenses
• 6 months of expenses
• 1 year of expenses

The best way to meet your savings goal is to

• Pay yourself first
• Spend what you need and then save what is left

A financial goal is defined as...

• Cost of an item in terms of other opportunities which were given up
• An exchange for one thing or another; giving up a benefit for another advantage
• Clear identifiable objective you want to accomplish
• None of these

A frugal person would

• Spend money on whatever he or she wants
• Not have a savings account
• Not care about money
• Carefully save money

An impulse buyer

• Makes a list and sticks to it
• Sees it. Wants it. Gets it