Savings and Investments 1

Personal financial planning process begins with

• spending your money.

• budgeting finances.

• finding a job.

• calculating expenses.

Income and expenses are categorized as

• fixed and variable.

• high and low.

• salary and expense.

• low and high.

If expenses exceed income you can

• cut expenses, increase income, or consolidate debt.

• increase expenses, decrease income, or consolidate debt.

• cut expenses, decrease income, get a credit card.

• increase expenses, increase income, or consolidate debt.

If income exceeds expenses you can

• invest or save.

• pay down credit card debt.

• all are correct.

• save for a rainy day.

Types of bank accounts include

• checking, savings, and CD.

• Checking, bonds, and CD.

• savings, bonds, and checking.

• Checking, stocks, and bonds.

Debit cards are most often linked to a

• checking account.

• stock account.

• bond account.

• certificate of deposit.

This savings account has a fluctuating rate and is insured by the FDIC.

• CD

• bonds

• stocks

• typical 'savings'

• mutual fund

This savings account has a fixed rate for a specific period and is insured by the FDIC.

• CD

• bonds

• stocks

• typical 'savings'

• mutual fund

An employer sponsored retirement account

• IRA

• ROTH IRA

• 401 (k)

• Savings Plan

An employee managed retirement account

• IRA

• ROTH IRA

• 401 (k)

• Savings Plan