Money Quiz Elementary School

Emma wants to save for a rainy day. She sets aside $50 each month in a separate account for unexpected expenses. What type of saving is Emma practicing?

• Short-term saving

• Mid-term saving

• Emergency/Contingency saving

• Long-term saving

John is planning to buy a car in five years. He decides to save $200 each month. What type of saving is John practicing?

• Short-term saving

• Mid-term saving

• Emergency/Contingency saving

• Long-term saving

Sarah earns $3,000 a month. She allocates 50% of her income to needs, 30% to wants, and 20% to savings and debt repayment. What budgeting rule is Sarah following?

• 70-20-10 rule

• 50-30-20 rule

• 60-20-20 rule

• 40-40-20 rule

Mike deposits $1,000 in a savings account that gives him $50 in addition to his $1000. What income is this?

• Commission

• Interest

• Expense

• I don't know

Lisa invests $500 in Amazon stock. What type of saving is this?

• Investing in Stocks

• Investing in Savings Bank

• It is not a saving

• It is an expense

Alex wants to save for a down payment on a house in ten years. What type of saving should Alex focus on?

• Short-term saving

• Mid-term saving

• Emergency/Contingency saving

• Long-term saving

Tom is trying to decide between saving and investing. What is a key difference between the two?

• Saving is riskier than investing

• Investing typically offers higher returns than saving

• Saving is for long-term goals, while investing is for short-term goals

• There is no difference between saving and investing

Emily wants to create a budget but doesn't know where to start. What is the first step she should take?

• Track her expenses

• Set financial goals

• Allocate money to different categories

• Save a fixed amount each month

Sophia wants to start investing but is unsure where to begin. What is a good first step for a beginner investor?

• Invest all her money in a single stock

• Diversify her investments across different assets

• Avoid investing and keep all her money in a savings account

• Spend all her money on luxury items

James is curious about the stock market. What is a stock?

• A loan to a company

• A share of ownership in a company

• A type of savings account

• A government bond