Budgeting - Unit Test

First Name:

Last Name:

1. Which of these costs would be the MOST difficult to adjust if you were looking to reduce your expenses?

• Dining out at local restaurants
• Loan payment on a new car
• Expenses for new clothes
• Postponing a purchase for a big-screen TV

2. If you are renting and you damage anything or do not pay rent this will cover the cost.

• Security Deposit
• Lease
• Mortgage

3. If you are trying to substantially reduce the amount you spend on food, you should try...

• Cooking your own food at home for as many meals as possible
• Dining at restaurants more often so you don't waste water doing dishes
• Eating more snacks on the go and way fewer meals at home
• Drinking more coffee and soda so you are not as hungry for food

4. Leila just graduated from college and is comparing a few different cities to move to. Which of these factors is the LEAST important thing for her to consider right now?

• Average rent for an apartment
• Food and grocery store options in the area
• Employment opportunities
• Average cost of Uber, Lyft, or taxi fare

5. Greg is trying to decide whether he needs a car when he moves to the city. Which of the following would be a reason for Greg to get a car rather than use public transportation?

• There are several public transportation routes between Greg's apartment and work
• The cost of public transportation is less than Greg’s monthly car payment
• Greg’s company covers half the cost of his monthly public transportation pass
• Using public transportation, Greg’s commute to work one-way is two hours

6. Which of these boxes of cereal has the LOWEST unit price?

• Cereal A, which costs $3.20 for a 16 oz. box
• Cereal B, which costs $5.00 for a 32 oz. box
• Cereal C, which costs $2.50 for a 10 oz. box
• Cereal D, which costs $4.50 for an 8 oz box

7. If someone asked you what a disadvantage to renting may be, which of the following would you tell them?

• rent prices could increase.
• you are not responsible to fix things when they break.
• you are building equity in your property.

8. You are putting together your first post-graduation budget. Your net pay is $2,500 per month and you estimate that your monthly expenses will be $2,625. How would you describe your budget?

• You have a surplus of $125
• You have a deficit of $125
• You have a deficit of $2,625
• You have a surplus of $2,500