Basic Personal Finance

Tim wants some skittles and a fruit roll up. He chooses the fruit roll up. What is his opportunity cost?

• the fruit roll up

• the skittles

• the fruit roll up and the skittles

• potato chips

What does it mean when you save money?

• You buy a new outfit today at the mall.

• You put money away for later.

• You lose your money on the playground.

• You give away money to help animals.

What is something that would be a need?

• a new video game

• a place to live

• a birthday party

• a new television

What is a want?

• something you have to have in order to live

• something you can live without but hope you can get

• water for survival

• food for survival

Michael has been invited by a friend to go fishing on Friday. His parents are going to a concert. Michael chooses to go fishing with his friend. What is his opportunity cost?

• fishing with a friend

• going to a concert

• Michael's choice

• Friday

What is opportunity cost?

• your choice

• what you give up to make a choice

• money people earn to buy things

• everything you need

Scarcity is when

• there is not enough for everyone

• when there is a lot of extra left over

• having too much money

• when you can buy everything you want

A popular bakery has only a few ingredients left to make their products. They could bake muffins or cookies, but they can’t make both. The bakers decide to make cookies for their customers. What is the opportunity cost of their decision?

• cake

• cookies

• the muffins and the cookies

• muffins

_____________ is another word for trading.

• Service

• Bartering

• Charities

• Good

Which would be a good trade for an apple?

• A car

• $100

• An orange

• a new bicycle