Personal Finance: Chapter 2 Budgeting

Although the majority of Americans think budgeting is important, about___% of Americans actually use a budget.

• 20%

• 30%

• 40%

• 50%

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

• Income

• Expenses

• Savings

• Investments

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

• True

• False

What are the four walls?

• Roof

• Floor

• Windows

• Doors

How many categories should you have in your budget?

• 1

• 3

• 5

• 7

How often should you create a budget?

• Daily

• Weekly

• Monthly

• Yearly

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

• True

• False

What does a budget show you?

• Income

• Expenses

• Savings

• All of the above

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

• True

• False

A budget says what will happen with your money, while a cash-flow statement shows what already happened.

• True

• False