Review: Chapter 1 - Overview of Personal Finance

Allison wanted to spend the evening at the movies with friends instead of filling her car’s gas tank. With this decision she incurred an ...

• bankruptcy

• liquid asset

• opportunity cost

• personal finance

• personal financial planning

At this stage of your life, it is ____________ to think about your retirement.

• Unnecessary

• Absolutely necessary

• Too difficult

• Beneficial

_____________ is a legal process filed when one is unable to pay bills.

• bankruptcy

• liquid asset

• opportunity cost

• personal finance

• personal financial planning

It is impossible to plan for an unexpected loss in wages.

• True

• False

Leon used money from his savings account for a down payment on an ATV. Money in his savings account is an example of a...

• bankruptcy

• liquid asset

• opportunity cost

• personal finance

• personal financial planning

Kong just started his first job as a elementary basketball coach. He works 12 hours a week and makes $9 per hour. Kong has been told at 15% of this paycheck will be deducted for federal, state, and local taxes. How much should Kong expect his paycheck from his first full week of work to be?

• $8.19

• $80.19

• $91.80

• $19.08

The process of _____________ will help George plan his financial future.

• bankruptcy

• liquid asset

• opportunity cost

• personal finance

• personal financial planning

Financial planning can affect the age at which you retire.

• True

• False

Samantha wants to learn more about financial issues that can affect her life. She is learning about...

• bankruptcy

• liquid asset

• opportunity cost

• personal finance

• personal financial planning

Which of the following is a long-term financial goal?

• Buying a cell phone

• Taking a vacation

• Buying a house

• Creating an emergency fund