Economics and Personal Finance Quiz

Give two examples of economic wants and two examples of economic needs.

• Wants: Food, Water; Needs: Car, Vacation

• Wants: Clothing, Shelter; Needs: Jewelry, Entertainment

• Wants: Vacation, Entertainment; Needs: Food, Shelter

• Wants: Medicine, Education; Needs: Luxury Car, Designer Clothes

What is the amount of money earned before taxes and other withholdings are removed?

• Net Pay

• Gross Pay

• Disposable Income

• Discretionary Income

What is the term for money available to an individual/household after taxes are paid?

• Gross Pay

• Net Pay

• Disposable Income

• Discretionary Income

What is usually a fixed cost, and is a loan an individual must repay to a bank to purchase a home?

• Utilities

• Mortgage

• Direct Deposit

• Withholdings

These non-discretionary expenses include electricity and water.

• Entertainment

• Savings

• Utilities

• Travel

Identify Jack’s total costs for the month.

• $1200

• $1800

• $6000

• $6100

Consumers worried that a company is trying to scam them should call this agency and file a report.

• Securities & Exchange Commission

• Better Business Bureau

• Consumer Protection Law

• Product Recall

A method of putting money aside for retirement that allows you to pay taxes now and buy stock, so that when you sell the stock upon retirement the money is tax free.

• 401(K)

• Pension

• Roth IRA

• Stock

Creating and running your own business is known as what?

• Freelancing

• Entrepreneurship

• Employment

• Volunteering

Individuals that complete specific tasks or projects for a company in exchange for payment, but are not employees and must pay their taxes, are known as what?

• Interns

• Volunteers

• Contractors

• Employees