PFL Review

Ms. Patterson works for a company. Which factor would most likely affect the amount of money Ms. Patterson gets paid by the company?

• The amount of money Ms. Patterson has to pay in bills.

• The size of Ms. Patterson’s family.

• The amount of money Ms. Patterson saves every month.

• The work experience Ms. Patterson has.

Nina works for a restaurant. The restaurant pays her every week for the work she does. Some weeks she works more hours than other weeks. Which statement is most likely true?

• When Nina works fewer hours, she earns more income from the restaurant.

• When Nina works more hours, she earns more income from the restaurant.

• When Nina works more hours, the restaurant gets less labor from her.

• When Nina works fewer hours, the restaurant gets more labor from her.

Not much rain has fallen lately. Because of this, there will be a drop in the amount of oranges grown on farms. What most likely will happen to the price of orange juice, and why?

• The price will go down. Many shoppers will start stocking up on orange juice, so it will be worth less.

• The price will go down. Farmers won't want people to die of thirst, so they will sell their oranges at a low price.

• The price will go up. There won't be enough orange juice for everybody who wants it, so it will be worth more.

• The price will go up. There is a shortage of water, so people will need to drink lots of orange juice instead.

A company uses silkworms to make silk for shirts. Because the temperature was colder than usual this past year, there were fewer silkworms, and the company made fewer shirts. What will most likely happen to the price of silk shirts, and why?

• The price of silk shirts will go up because silk is more scarce than usual.

• The price of silk shirts will go up because more people are interested in silk shirts this year.

• The price of silk shirts will go down because more silkworms will be available during the summer.

• The price of silk shirts will go down because the company made more shirts out of other materials.

Jerome wants to buy a video game system that costs $200. He saves $5 a week for 10 weeks then receives a gift card of $100. When the video game system goes on sale for $149, he buys it. Which best describes his spending decision?

• It is an unwise unplanned decision because unplanned spending decisions never makes sense.

• It is an unwise unplanned decision because the gift plus his savings are not enough to buy the video game system.

• It is a wise planned spending decision because his savings plus the gift allow him to buy the video game system on sale.

• It is a wise planned spending decision because he has already saved $200 in 10 weeks to buy the video game system.

Which scenario best describes a planned spending decision?

• Jessica bought three pairs of shoes, and a scarf when she went to the store to buy school supplies.

• Kyle saved for two months to buy new hockey skates.

• Colby spent all of his money he had been saving on video games instead of the new jacket he had been needing for school.

• Hannah went to the store to buy school supplies, and spent her money on posters instead.

When borrowing money, people have the responsibility to —

• buy something they wouldn't ordinarily buy.

• pay the money back to their creditors.

• borrow more money in the future.

• lend the money to someone else in need.

Which of the following people would most likely use credit?

• Jeanne wants to buy a house but does not have enough money to pay for it right now.

• Kim has lots of money and wants to lend some of the money to her friends.

• Neil just paid for new furniture for his apartment with cash.

• Michael wants to use the money he has saved to buy a new bicycle.

What is a good reason for having a savings plan?

• Saving money will put you in debt.

• You can never plan for some expenses.

• Following a plan makes you remember to save.

• Following a plan lets you spend extra money on anything you want.

Why do people decide to donate money to charity?

• To reduce human suffering

• To build a sense of community

• To improve educational progress

• All of the above.