Chapter 2 Test

Although the majority (95%) of Americans think budgeting is important, only about_________________ of Americans actually use a budget.

• 75%
• 50%
• 23%
• 35%

On your next pay stub, it says that you made $523 before taxes, but you only made $411 after taxes. Which number would be your net income?

• $523
• $411
• $112 = [523 - 411]

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

• Credit Score
• Saving
• Income
• Giving

What are the Four Walls?

• Utilities, college fund, restaurants, and car insurance
• Cell phone bill, car insurance, shelter, and money for the movies
• Food, utilities, transportation, and college fund
• Food, utilities, shelter, and transportation

How many categories should you have in your budget?

• 15 or more
• No more than 10, but at least 3
• 8,675,309 [Please do not pick this answer]
• No Limit; use as many as you need

How often should you create a budget?

• Daily
• Weekly
• Monthly
• Two Times a year

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

• True
• False
• Only the saver, because the spendor then just gets to spend the money (YEAH!!!!)

What does a budget show you?

• How much you need to save
• How much money you plan to have come in [income] and go out [expenses] during the month
• How much money you need to earn
• how much money you spent last month

How many months does it usually take for your budget to start working?

• 1
• 2
• 3
• 4
• 5

Your money personality can affect your _____________

• Attitude towards budgeting
• Choice of banking institution to use
• Personal values
• Ability to budget