Resource Management 2ND 9WKS EXAM

What is a primary source of income?

• Inheritance

• Lottery winnings

• Employment salary

• Investment returns

Which of the following is considered a passive income?

• A one-time gift

• Salary from a job

• Money earned from a rental property

• Income from a day's work

What is the main purpose of creating a budget?

• To manage income and expenses

• To calculate taxes

• To spend more money

• To track investments

Which of the following is a characteristic of a progressive tax system?

• Lower-income earners pay a higher percentage of their income in taxes

• Taxes are optional for high-income earners

• Everyone pays the same tax rate

• Higher-income earners pay a higher percentage of their income in taxes

What is gross income?

• Income after taxes

• Income before any deductions

• Income from investments only

• Only income from employment

Which of the following would be considered a variable expense in a budget?

• Rent

• Car insurance

• Mortgage

How can managing multiple income streams benefit financial stability?

• Reduces overall income

• Complicates budgeting

• Provides financial security through diversification

• Increases dependency on a single income source

What is net income?

• Income after taxes and deductions

• Total earnings from all sources

• Only income from investments

• Income before taxes

Which of the following is not a source of income?

• Dividends from stocks

• Rental income

• Salary

What is the purpose of income tax?

• To invest in the stock market

• To redistribute wealth equally among citizens

• To pay for public services and infrastructure

• To fund private corporations