Final post test review - Personal Foundations Dave Ramsey

What is Dave Ramsey's First Foundation of Personal Finance?

• Save Money
• Don't spend money
• $25 Emergency Fund
• $500 Emergency Fund

What is an example that you can use the $500 Emergency Fund for?

• Groceries
• Car broke down
• Your friend needs $50
• Black Ops III

Is it a good idea to keep your Emergency Fund mixed with your everyday spending money?

• Yes
• No

What is the Second foundation of personal finance?

• Get out of Debt
• Buy Stuff
• $100 Emergency Fund
• Finance your Car

What is the Third foundation of Personal Finance?

• Pay cash for stuff
• 5 year financing on car purchases
• Pay cash for your car
• 4 year financing on car purchases

What is the Fourth foundation of Personal Finance?

• Go to a cheap college
• Avoid Private Schools
• Get financial aid
• Pay cash for college

What is the Fifth foundation of Personal Finance?

• Build Wealth and Give
• Pay cash for your boat
• Spend, Spend, Spend
• Pay cash for vacation home

What is it that helps your 401(k) grow so much?

• Compound Interest
• Good Brokers
• Working Really Hard

1)  Which of the following would not be a huge financial risk (and, therefore would not require insurance) if you had a full emergency fund of $500 or more?

• You lose your cell phone
• A medical emergency
• Your identity gets stolen
• A car accident

1)  The time between the disabling event and the beginning of payments in your disability coverage is called:

• Decutible
• Out of Pocket
• Elimination Period
• Stop Gap