Gotham Scholars Personal Finance Assessment

It’s smart to start saving and investing money when you’re older and at the height of your career.

• TRUE

• FALSE

Which term matches this definition best "The ability to manage finances in an educated and thoughtful manner."

• Needs

• Goal Setting

• Financial Literacy

• Budgeting

Which term best matches the definition "Expenses that are not essential for to live and work"

• Variable Expenses

• Wants

• Emergency Expenses

• Once a year Expenses

What is a 401(k) for?

• Emergency

• Retirement

• Buying A Car

• Building Credit

What is the purpose of FDIC, which stands for "Federal Deposit Insurance Corporation"?

• To regulate stock market trading (meaning person will not loose money invested in stocks)

• To insure deposits in banks against loss in case of bank failure (meaning person will not loose money deposited with a bank)

• To manage the national debt (meaning the country's national debt will not become too large)

What are some safe places to safeguard your money? (select all that apply)

• Money Market Funds by large financial institutions

• A Federal Deposit Insurance Corporation (FDIC)-insured financial institution

• Treasury notes issued by the U.S. Department of the Treasury

• Keeping it in a locker at home

Using a credit card is the best way to deal with unexpected expenses.

• TRUE

• FALSE

____________________ income is the money a person has after taxes and deductions

• Net

• Gross

Why is it important to maintain a good credit score? (select all that apply)

• To get better interest rates on loans

• To help you get approved for an apartment

• To help lower the amount of taxes you owe

• Because it can take a long time to raise a low credit score

Inflation is....

• An increase in the price level of goods and services in an economy over time

• A decrease in the price level of goods and services in an economy over time

• A stable price level in an economy

• A sudden increase in the value of the stock market