Virginia Economics and Personal Finance

What is the primary purpose of creating a personal budget?

• To track expenses and income

• To impress others with financial knowledge

• To avoid paying taxes

• To increase credit card limits

Which of the following is a benefit of having an emergency fund?

• It allows for impulsive spending

• It provides financial security during unexpected events

• It increases monthly expenses

• It reduces the need for insurance

What is the purpose of a credit score in personal finance?

• To determine eligibility for loans

• To calculate monthly expenses

• To track daily spending

• To set savings goals

Which of the following is considered a fixed expense in personal finance?

• Rent or mortgage payment

• Grocery shopping

• Dining out

• Entertainment subscriptions

I am participating in a system of ________ when I open a lemonade stand. 

• marketplace

• merchandise

• currency

• economics

I believe that if you lower taxes so that people can keep more of the money they earn, it will be an incentive for them to work harder.

What is the meaning of “incentive”? __________.

• a. a reason to do something

• b. a small amount of money

• c. a tax

• d. a good job

Tags

CCSS.ELA-Literacy.CCRA.L.4

Which of the following is a common method for reducing debt?

• Ignoring bills

• Debt consolidation

• Increasing spending

• Taking more loans

What is the financial term for the original amount of money invested or loaned?

• Principal

• Interest

• Dividend

• Yield

What is the term for the process of planning and managing personal financial activities such as income generation, spending, saving, investing, and protection?

• Financial planning

• Budgeting

• Accounting

• Auditing

What is the most common income?

• Fees and commissions

• Salaries

• Financial income

• Pensions