Personal Finance Assesment

What is income?

• The monthly bills you have to pay

• The money that you make/earn or are given

• A way to pay

• Credit card debt

Which of the following are ways to pay?

• Income

• Checking account

• Credit card

• Savings account

Sally put $10,000 in her account at 25 years old. Sally is now 65 and has never taken money from or put money in her account. The account now has $157,900. How does have more money?

• Debit card

• expenses

• Income

• Interest

What are examples of financial investment?

• Houses

• Cars

• Stocks

• Bonds

What is interest?

• money paid by other people

• money robbed by the bank

• money paid regularly by the bank on the account

• money paid by the U.S

What is this?

• Credit history

• Credit card

• Credit score

• None of the above

What is a budget?

• A type of savings account

• A way to invest for retirement

• A fund for emergencies

• A financial plan that defines expenses for a period of time.

Which of the following are characteristics of money used as savings, including emergency funds?

• Safe

• Accessible

• Liquid (in the form of money)

• Invested in risky business ventures

Why should we INVEST instead of SAVE for retirement?

• Investing money can make it grow in the long term.

• Investing is safer than saving.

• Saving is too risky for retirement.

• Investing is more fun than saving.

What is debt?

• Money you have borrowed and need to pay back

• Money you make from working at a job

• Money you make from the government

• Taxes that you pay when you buy something