Budgeting & Banking Review

Why is it important to create a budget?

• You earn more money
• You get things you want before you get things you need
• Helps you plan how you are going to spend your money
• They're pointless

Which item in a person's budget is considered a variable expense?

• entertainment

• insurance premiums

• car payments

• rent

What type of expense is rent?

• Fixed
• Variable

Expenses that vary from month to month, such as entertainment, car repairs, or doctor bills.

• Variable Expenses
• Fixed Expenses

What type of expense are groceries?

• Fixed
• Variable

What type of expense is going out to eat?

• Fixed
• Variable

Expenses that do not change from month to month, such as auto insurance or rent.

• Variable Expenses
• Fixed Expenses

Tags

CCSS.7.NS.A.1C

In your personal budget, what does discretionary income refer to?

• The money that you spend on impulse while at the shops.

• Money that is specifically put aside to pay for essential items such as rent, tax, basic food requirements, basic clothing requirements.

• Money left over (or budgeted) once all essential items have been taken care of.

• There is no place for discretionary spending in a personal budget.

Which of these is not a source of income?

• Savings
• Salary
• Interest
• Babysitting Money

What does the S in SMART goal mean?

• Short term
• Specific
• Scientific
• Slow