Chp 5 Savings

Front

According to experts, your emergency fund should include enough money to cover your expenses for...

Back

3-6 months

Front

A payroll savings plan (PSP) is another application of which strategy?

Back

pay yourself first

Front

What does maximize mean?

Back

make as large or great as possible.

Front

Which of the following strategies will help make your savings grow? Pay yourself only with discretionary money after all bills are paid. Make savings a regular part of your budget. Make frequent withdrawals. Choose accounts with low interest rates.

Back

Make savings a regular part of your budget.

Front

Restrictions, fees and penalties can affect an account’s _______.

Back

total earnings

Front

To earn top dollar on your savings, look for _________.

Back

All of the above

Front

The equation that estimates how long it will take to double an investment with a fixed interest rate is called the _______________.

Back

the rule of 72

Front

When a bank says their savings account earns 1% interest, that typically means you will earn 1% interest over what period of time?

Back

annually (a year)

Front

If you used the 50-30-20 rule of budgeting, how much money would you be saving?

Back

20%

Front

What would be a good time to spend money from your emergency fund? Options: rent, paying of debts, bills, unexpected expenses

Back

unexpected expenses