Financial Literacy Review

We are learning to become ____________ literate with our money.

• totally

• financially

• kinda

• almost

Lisa earns money babysitting. She places the money she earns in a jar so she can buy a new shirt. This is an example of?

• Unplanned spending

• Interest

• Credit

• Planned spending

Carl's father wants to take his family on a vacation next summer. He puts $100 in the bank every week. This is an example of?

• A. saving

• B. borrowing

• C. interest

• D. unplanned spending

Lin borrows $50 from a friend to pay for a used guitar, but has to pay her friend $55 in return. What is the additional $5 Lin pays her friend?

• saving

• planned spending

• interest

• unplanned spending

Which of these is an example of unplanned spending?

• A. Laney uses $50 from her paycheck each week to buy gas for her car.

• B. Kendrick saves $75 each month to buy a jet ski next summer.

• C. Mrs. Garza spends $100 per week to purchase groceries.

• D. Olivia pays the auto repair shop $25 to fix a flat tire.

Ms. Taylor has spent the last 3 days in a hospital recovering from an accident. When she is released this afternoon, she will owe the hospital $900 for medical bills. Ms. Taylor only has $400. What will Ms. Taylor likely have to do?

• Photograph $900 and give it to the hospital

• Pretend that she is still injured

• Ask for credit in the amount of $500

• Convince the hospital that $400 is enough

Abigail's class went on a study trip to a bank. The manager of the bank told the students about the benefits of saving money. The manager probably did not say...

• Saving money now can help you pay for college in the future.

• Saving money isn't necessary because you will have a good job in the future.

• Your savings can help you pay for unexpected expenses in the future.

• Your savings can help you pay for things you may need or want in the future.

When a bank loans money to a person, the bank expects that person...

• to pay back some of the money if there is any left over

• to treat the money like a birthday gift or contest prize

• to pay back all of the money to the bank at a later date

• to spend the money on entertainment, vacations, and merriment

People sometimes use credit when...

• They have more money than they can spend in a lifetime

• They need or want to show a bank how much money they have

• They own many things and want to sell them to people who have nothing

• They need or want to buy something that they cannot afford

Paul puts money in savings to buy a new video game. He has to spend some of his saved money to replace the library book he lost. Is this an example of planned spending or unplanned spending?