Financial Literacy Quiz

Imagine you're helping Michael Scott plan his dream vacation! What is the primary purpose of creating a budget for his trip?

• To track past expenses

• To plan and control income and expenses

• To eliminate all discretionary spending

• To invest in stocks and bonds

Imagine you're helping Michael Scott from The Office budget his monthly expenses. Which of the following is considered a fixed expense in his budget?

• Monthly rent payment

• Utility bill

• Grocery shopping

• Entertainment

True or False: A budget should be adjusted regularly based on changes in income and expenses.

Jim and Pam are discussing their savings at Dunder Mifflin. Jim asks, "Hey Pam, do you know what FDIC insurance protects?"

• Investment accounts

• Bank deposits up to $250,000 per account holder

• Stock market losses

• Credit card transactions

Imagine you're on a financial adventure with Michael, Jim, and Pam from The Office. Which of the following is a benefit of having a checking account?

• It allows you to earn interest on your money

• It provides a safe way to store money and make payments

• It eliminates the need for financial record-keeping

• It guarantees that you will not spend more than you earn

True or False: Overdraft protection ensures you never pay fees when you spend more than your account balance.

Michael and Dwight are discussing different financial services at Dunder Mifflin. Which of the following do they identify as an example of an alternative financial service?

• Credit union

• Payday loan

• Online banking

• Traditional savings account

True or False: Check-cashing services often charge higher fees than banks for cashing checks.

Imagine you're a detective in the Scranton branch of Dunder Mifflin, like Michael, Jim, or Dwight, solving the mystery of your credit score! Which factor do you think holds the most weight in cracking the case?

• Length of credit history

• Payment history

• Types of credit accounts

• Number of recent credit inquiries

Imagine you're on a financial adventure with Michael, Jim, and Pam from The Office. What happens if you choose to make only the minimum payment on your credit card?

• Your debt magically disappears faster

• Interest charges will pile up, increasing the total amount owed

• The credit card company throws a party and lowers your interest rate

• Your credit score gets a magical boost