Understanding Positive and Negative Numbers with Money

This lesson teaches how to use positive and negative numbers by relating them to real-life money situations. Positive money is money you have, like income or gifts, while negative money is money spent or owed, like expenses or debts. The lesson includes examples of both, such as earning money from work or spending on purchases. It also covers how to manage a bank account by tracking deposits and withdrawals, using parentheses to denote negative amounts in accounting.

What is a common mistake people make when dealing with negative money?

• Writing negative amounts with a dollar sign before the minus

• Considering gifts as negative money

• Depositing money as negative

• Referring to spending as negative

Which of the following is an example of positive money?

• Spending $20 on a meal

• Receiving $50 as a birthday gift

• Owing $10 for a book

• Borrowing $5 from a friend

How is negative money typically represented in accounting?

• With a minus sign before the amount

• With the amount in parentheses

• With a dollar sign after the amount

• With a plus sign before the amount

If you deposit $100 in your bank account and then spend $20, what is your new balance?

• $20

• $100

• $80

• $120

After earning $30 from babysitting and spending $50 on a video game, what is your account balance if you started with $65?

• $45

• $95

• $15

• $65