Financial Literacy Quiz

What is financial literacy?

• Knowing how to handle your money wisely

• Knowing how to cook

• Knowing how to drive

• Knowing how to read

Is financial literacy just about knowing how to budget?

• Yes

• No

• Sometimes

• Only for adults

What is a budget?

• A plan to manage your money

• A plan to manage your time

• A plan to manage your diet

• A plan to manage your travel

Why do you need a budget?

• To prioritize your expenses and choose what is most important

• To buy everything you want

• To avoid working

• To save time

What can a budget help you track?

• Your income and expenses

• Your friends

• Your hobbies

• Your travel plans

How can a budget help you achieve your goals?

• By planning how much money you need and how long it will take to reach your goals

• By planning your daily schedule

• By planning your diet

• By planning your travel itinerary

How can a budget help you avoid or reduce debt?

• By helping you spend less than you earn and pay off your bills on time

• By helping you spend more than you earn

• By helping you avoid working

• By helping you avoid saving money

What does having a negative balance in your budget mean?

• Your income is more than your expenses.

• Your income is equal to your expenses.

• Your income is less than your expenses.

• You have no income.

Which of the following is NOT a way to increase your income according to the text?

• Ask for a raise or more hours at your current job.

• Look for extra jobs or chores that you can do for money.

• Spend more money on luxury items.

• Sell things you don't use or need anymore.

What are fixed expenses?

• Expenses that vary from month to month.

• Expenses that are the same every month.

• Expenses that you can easily decrease.

• Expenses that are not necessary.