Creating a personal budget

Which of the following refers to personal belongings which have value?

• Assets

• Liabilities

• Net Worth

• Net profit

Which of the following is an example of a personal asset?

• Credit card balance

• Mortgage

• Cash

• Rent

An individual has total assets of $120,000 and total liabilities of $80,000. What is

his net worth?

• $30,000

• $40,000

• $50,000

• $60,000

Which of the following is considered to be a short-term goal?

• Saving for a college education

• Saving for a retirement fund

• Starting a new career

• Saving for a family vacation

Which type of people likes to plan for the future and are prepared for any type of

financial situation?

• Flyers

• Security seekers

• Risk Takers

• Spenders

Which of the following refers to individuals who do not consider money as a

necessity and do not have much of an opinion on money?

• Flyers

• Security seekers

• Risk takers

• Spenders

What does “A” represent in SMART goal setting practices?

• Analyzed

• Adaptable

• Attainable

• Achieved

Which of the following is considered to be a long-term financial goal?

• Paying a specific amount on a credit card bill

• Saving for a retirement fund

• Buying a new car

• Saving for a family vacation

Which step of the financial planning process involves devising strategies to help

accomplish financial goals?

• Reviewing the plan

• Finalizing the plan

• Identifying courses of action

• Determining financial situation

Which of the following is the last step in creating a personal financial plan?

• Balancing income and expenses

• Creating financial goals

• Implementing the budget

• Revising the plan