Budgeting and Spending Pretest

Identify which one of the following best describes the term 'income'.

• Money spent by an individual.

• Money saved by an individual.

• Money received or earned by an individual.

Putting away money for future use or an emergencies

• Investing

• Saving

• Budgeting

• Credit

Estimate of income and expenses for a set period of time (usually a month).

• Budget

• Financial Planning

• Account Balance

• Cash Flow

Total money coming in (pay check) and going out to pay expenses (bills)

• Financial Planning

• Account Balance

• Budget

• Cash Flow

Monthly expenses that do NOT change (same amount every time).

• Fixed Expenses

• Variable Expenses

• Liabilities

• Cash Flow

Monthly expenses that do change (different amount every time).

• Fixed Expenses

• Variable Expenses

• Liabilities

• Cash Flow

Examples of these are: rent, mortagage payment  or car payment

• Fixed Expenses

• Variable Expenses

• Budget Surplus

• Budget Deficit

Examples of these are: food, gas for car, electric bill

• Fixed Expenses

• Variable Expenses

• Budget Surplus

• Budget Deficit

When you have more expenses (bills) than you have income (money coming in)

• Fixed Expenses

• Variable Expenses

• Budget Surplus

• Budget Deficit

When you have more income (money coming in) then you have expenses (bills)

• Fixed Expenses

• Variable Expenses

• Budget Surplus

• Budget Deficit