Mastering Budgeting for Financial Literacy

What is the primary purpose of a budget?

• To plan vacation trips

• To monitor income and expenses

• To study for exams

• To track physical activities

How often can budgets be prepared?

• Monthly only

• Daily only

• Weekly, Monthly, Yearly

• Yearly only

What are the four columns typically included in a budget?

• Date, Detail, Cost, Current

• Time, Origin, Number, Total

• Day, Reason, Total, Remaining

• Date, Source, Amount, Balance

What type of financial activity is buying an ice cream considered?

• Investment

• Savings

• Income

• Expense

If you earn money from a job, what is this considered in a budget?

• Loss

• Income

• Expense

• Debt

What happens to the balance when you spend money?

• It increases

• It remains the same

• It decreases

• It multiplies

What was the balance after receiving a birthday check and paying for a cellphone?

• $33

• $23

• $13

• $3

What does a positive balance indicate in a budget?

• Expenses are more than income

• Income and expenses are equal

• Income is more than expenses

• None of the above

What should you avoid to prevent a negative balance?

• Spending more than you have

• Earning money

• Saving money

• Investing wisely

What does a zero balance in a budget signify?

• No transactions occurred

• Expenses are less than income

• Income is less than expenses

• Income and expenses are balanced