Financial Literacy quiz

An example of a short term goal is

• Saving for 2 months for an $80 outfit

• Saving for 5 years for a $3000 dream vacation to Italy

• Saving for 3 years for a $1500 car down payment

Victor wants to save $100 over the next 4 months for a lift ticket to go skiing.  How much should he save each month in order to meet his goal? 

• $400 a month

• $50 a month

• $25 a month

Salena wants to save $2400 over the next 2 years to pay for a trip to Mexico to visit family.  How much will she need to save each month in order to reach her goal?  (Remember, there are 12 months in a year.

• $1,000

• $100

• $83.33

Housing is an example of a(n):

• need

• want

• income

The amount Travis spends in gas every month changes based on gas prices and how much he drives.  This would make gas an example of a:

• fixed expense

• variable expense

• periodic expense

Which of the following is one of the steps in creating a budget?

• Use percentages to see how much of the total income should be set aside for each expense.

• Create a spending chart for special events like birthdays and holidays.

• Create a table for cash gifts and gift cards you receive. 

John wants to budget 20% of his income for savings.  If he makes about $1,600 each month, how much of his budget will be savings?

• $160

• $320

• $400

Which financial institution usually has the highest interest rates on loans?

• credit unions

• payday loans

• commercial banks

Tommy has a basic account that allows him to deposit and withdraw money, write checks, and receive a monthly statement with no service charge if he maintains a minimum balance of $250.  What type of account is this?

• Checking Account

• Savings Account

• Retirement Plan Account

Pam is ready to reconcile her bank statement with her check register.  What should she do?

• Subtract deposits made since the statement.

• Add outstanding checks made since the statement.

• Add outstanding deposits and subtract outstanding checks written since the statement.