Financial Literacy Quiz

What is the study of how people use their limited resources in satisfaction of their limitless wants?

• Scarcity

• Inflation

• Opportunity cost

• Economics

Which economic system is based on supply and demand?

• Command economic system

• Market economic system

• Inflation

• Mixed economic system

What is the term for a rise in the general level of prices?

• Scarcity

• Opportunity cost

• Law of supply and demand

• Inflation

What is the term for a choice made between what you really want and the next best option?

• Scarcity

• Opportunity cost

• Inflation

• Economics

What are the influences on financial behavior?

• Employment forms, Gross Income, Net Income, FICA

• Income, Revenue, Sources of Income, Increased Wages

• Values, Charitable giving, Delayed Gratification

• Emotions, Attitudes, Habits, Culture

What is a good way to progress towards long-term financial goals?

• Speculation

• Gambling

• Pay Yourself First

• Investing

What is the purpose of insurance?

• To transfer risk after paying a premium

• To pay beneficiary in the event of insured's death

• To guarantee for a fee to pay someone else for a loss

• To build equity

What is the term for a financial plan used to forecast and track income and expenses?

• Amortization schedule

• Budget

• Payday/predatory loans

• Emergency/Opportunity Fund

What is a credit rating?

• The amount you pay for covered health care services before your insurance plan starts to pay

• The payment to the insurance company for an insurance policy

• A record about your credit history

• A # that rates a consumer's creditworthiness

What is the term for a short-term, high interest loan that is generally due on the consumer's next payday?

• Collateral

• Co-signer

• Amortization schedule

• Payday/predatory loans