CRM Chapter 2

Although the majority of Americans think budgeting is important, about _____ of Americans actually use a budget.

• 75%

• 50%

• 23%

• 35%

Which of the following is NOT a component of a budget?

• credit score

• income

• giving

• saving

Online budgeting apps are more effective than budgeting with pen and paper.

• True

• False

What are the Four Walls?

• utilities, college fund, restaurants, and car insurance

• cell phone bill, car insurance, shelter, and money for the movies

• food, utilities, transportation, and college fund

• food, utilities, shelter, and transportation

How many categories should you have in your budget?

• 15 or more

• no limit

• no more than 10

• at least 3

How often should you create a budget?

• daily

• weekly

• monthly

• biannually

If you get married, only one person is responsible for budgeting.

• True

• False

What does a budget show you?

• how much you need to save

• how much money you need to earn

• how much money you plan to come in and go out during the month

• how much money you spent last month

Detailed categories on your budget will help you make better spending decisions.

• True

• False

How many months does it usually take for your budget to start working as a budget should?

• 3

• 4

• 5

• 1