Finanical

What is the primary purpose of a budget?

• To track only your income.

• To track only your expenses.

• To guide your money towards financial goals by tracking income and expenses.

• To spend money without any limits.

What is the first step in the budgeting process?

• Categorize your expenses.

• Prioritize your needs and wants.

• Track your income from all sources.

• Set spending limits.

Which of the following is an example of a fixed expense mentioned in Alex's budget?

• Groceries

• Dining out

• Rent or Mortgage

• Entertainment

Are you enjoying the video lesson?

• Yes

• No

What does a budget surplus indicate?

• Your expenses exceed your income.

• Your income exceeds your expenses.

• Your income and expenses are perfectly balanced.

• You have accumulated significant debt.

How does building an emergency fund help with financial stability?

• It allows you to spend more on non-essentials.

• It helps you avoid dipping into savings or accumulating debt during unexpected expenses.

• It ensures your income and expenses are perfectly balanced.

• It reduces the need to track your spending regularly.