Personal Finance

Which of the following BEST describes income?

• Money received from a parent to pay for ice cream at lunch.

• Money spent on a pair of new Nike Shoes.

• Money donated to a charity.

• Money received for completing your weekly chores.

Which of the following is a benefit of having a personal savings plan?

• Personal savings plans let people spend more time doing activities they enjoy.

• People who save money are able to spend more money in the future and pay for unexpected expenses.

• People who save money are able to spend a lot of money right now.

• Personal savings plans help people have an unbalanced budget.

A budget helps people make responsible economic decisions.

• True

• False

Check all statements that are true about a balanced budget.

• A balanced budget is when you have more expense than income.

• A balanced budget is when you have the same number of ten dollar bills as one dollar bills.

• A balanced budget is when income is equal to or greater than expenses.

• A balanced budget helps you make responsible spending and saving decisions.

Which of the following should Sally consider when planning her monthly personal budget?

• How many pencils she will trade with another student.

• How many beads she will buy at the craft store.

• How many books she will read at the public library.

• How much tv she will watch this week

A balanced budget is when expenses are greater than income.

• True

• False

A balanced budget is when income is equal to or greater than expenses.

• True

• False

Which of the following is an example of income?

• Charging a lunch you will pay tomorrow

• Buying an ice cream at lunch today

• Money you get for working a job

• Trading supplies with a friend

James wants to be the richest person in the world. Which of the following should he include in his personal budget now to make this happen?

• How he plans to save money over a long period of time.

• How many Pokemon cards he will trade with friends.

• How he plans to increase his expenditures this coming year.

• How he plans to spend money on himself and others.

What is the difference between income and expense (expenditures)?

• An expenditure is money that is saved; an income is money that is spent

• An expenditure is money that is earned; an income is money that is received

• An income is money that is given to another person; an expenditure is money that is received by another person

• An income is money that is received; an expenditure is money that is spent