The central banking system of the U.S. that controls money supply and interest rates (sets prime rate)

• U.S. Bank

• Bank of America

• U.S. Treasury

• Federal REserve

Cody lost a $50 bet on the Yankees in the playoffs; the $50 he could of saved or invested wisely represents his

• profit

• opportunity cost

• compound interest

• consumable good

Which of the following is the best example of a depreciating asset

• car

• house

• CD (certificate of deposit)

• 401k

Which of the following is an example of an intermediate financial goal for a recent graduate?

• Save for a trip to Florida next spring break

• To buy a home by age 30

• To repay your student loan in 5 years

• To marry someone wealthy

Which of the following is a common calculation used to determine approximately how long it will take to double your money? 

• = 72 / interest rate

• Investment / 50

• There is no such calculation

Answer explanation

This known as the rule of 72.

Which of the following would be considered saving rather than investing?

• buying shares of stock

• gambling

• putting money into a CD

• participating in an employer sponsored 401k

Aiden is an agent for Roda Real Estate, he earns 3% of the sale price for each home he sells; this type of compensation is known as

• wage

• salary

• commission

• bonus

You worked 10 hours last week and you earn $10 an hour. Your deductions from your paycheck last week included: FICAA $8, Fed Tax $10, and State Tax $2. What is your net pay?

• $120

• $100

• $88

• $80

Answer explanation

10 x $10 = $100

$100 - (8+10+2) = $80

Being paid by your job every two weeks is known as

• biweekly

• semi-monthly

• weekly

• pay day

A budgeting method where your first priority is to put money into your savings, followed by paying your monthly expenses, and have the remainder as your fun money.

• Go big or go home

• Envelope method

• Zero-based budget

• Pay yourself first