Income Management

Family income includes

• (A) Money income

• (B) Real Income

• (C) Both

• (D) None

Which of the following statements are TRUE

(i) Needs are deficiencies that must be fulfilled.

(ii) Needs essential to our survival are called primary needs.

(iii) While making a budget priority must be given to Desires rather than to needs.

(iv) Desires are not essential for our survival but are things that we wish to possess.

• (i) , (ii) and (iii)

• (i) and (ii)

• (ii) and (iv)

• (i) , (ii) and (iv)

Food is a ___________

• Primary need

• Secondary need

• Desire

Going on a vacation is a ___________

• Primary need

• Secondary need

• Desire

Having a good transport is a ___________

• Primary need

• Secondary need

• Desire

___________ is a planned approach to spend money.

• Time plan

• Budget

• Expenditure record

• Bank balance

Which of the following do we need to keep in mind while making a budget. (You can select more than one option)

• Prioritize primary needs first

• Allot money according to the importance of the expense

• Money must be set aside for savings and investments

• Expenditure must be more than the income.

An expenditure record helps us to (Select all relevant options)

• Understand market trends

• Compare expenses of different months

• Get more money for impulse buying

• Plan for future spending

Select all the reasons , why we must save money

• To fulfill family goals

• To use in emergencies

• Use as capital for new business

• To improve the standard of living.

Which of the following is not a step in opening a bank account ?

• Get introduction from a reliable person

• Fill application form

• Submit proof of identity

• Have a lot of money