Family Life Cycle & Budgeting - Personal Financial Planning Quiz

After creating his budget, John realized his expenses exceed his income. To resolve this issue he can do which of the following?

• Invest more in the stock market

• Eat out less frequently

• Go on a shopping spree

• Work fewer hours

How many categories are there of the family life cycle?

• Six

• Nine

• Eight

• Two

A budget helps prevent debt by detailing which of the following?

• Listing expenses

• Showing current debts

• Identifying shortages before they happen

• Creating new income

The family life cycle helps marketers define which of the following?

• Target market

• Budget expenses

• Someone’s age

• Family size

Because the family life cycle changes, goals require which of the following?

• Long term target dates

• Priorities

• Lots of thought

• Constant updating