Worksheets8.1 Spending Plans Review
Total questions: 40
Worksheet time: 29mins
Name
Class
Date
1.
Brian earns $48,000 a year by operating his small business. He has the following monthly expenses: Contribution to retirement plan=$180, Rent/home mortgage=$950, Utilities=$200, Phone/Cable/Internet=$180, Food/Groceries=$290, Car payment=$357, Insurance (car/rental/home)=$150, Transportation (including gas) =$200, Clothes=$140, Entertainment=$180, Services (cleaning, hair dresser)=$150, Other=$220. What was Brian's monthly income?
a)
48000
b)
4000
c)
12000
d)
3000
2.
Which account is an account opened by two or more people together?
a)
a joint account
b)
an EFT account
c)
a business account
d)
an interest-earning account
3.
Expenses, such as gas for your car or groceries, that change from one month to the next are:
a)
variable expenses
b)
fixed expenses
c)
common expenses
d)
monthly expenses
4.
A realistic spending plan is best described as a plan for:
a)
spending all of your money in the most realistic way.
b)
managing income and expenses.
c)
saving all of your money.
d)
spending more money than you have.
5.
Resources that occur naturally in and on the earth that are used to produce goods and services are called:
a)
capital resources
b)
natural resources
c)
human resources
d)
financial resources
6.
Brian earns $48,000 a year by operating his small business. He has the following monthly expenses: Contribution to retirement plan=$180, Rent/home mortgage=$950, Utilities=$200, Phone/Cable/Internet=$180, Food/Groceries=$290, Car payment=$357, Insurance (car/rental/home)=$150, Transportation (including gas) =$200, Clothes=$140, Entertainment=$180, Services (cleaning, hair dresser)=$150, Other=$220. How much did Brian save?
a)
803
b)
903
c)
1003
d)
1103
7.
A bank account that allows a customer to deposit and withdraw money and earn interest on the balance is a:
a)
savings account
b)
joint account
c)
checking account
d)
personal account
8.
The money an individual spends each month is their _______________.
a)
income
b)
earnings
c)
expenses
d)
savings
9.
Brian earns $48,000 a year by operating his small business. He has the following monthly expenses: Contribution to retirement plan=$180, Rent/home mortgage=$950, Utilities=$200, Phone/Cable/Internet=$180, Food/Groceries=$290, Car payment=$357, Insurance (car/rental/home)=$150, Transportation (including gas) =$200, Clothes=$140, Entertainment=$180, Services (cleaning, hair dresser)=$150, Other=$220. What was Brian's monthly expenses?
a)
3229
b)
4197
c)
3197
d)
4229
10.
Income you spend to buy the things you want for pleasure, satisfaction, and comfort is:
a)
discretionary income
b)
net income
c)
expenditures
d)
money management
11.
When using a budget, it is important to evaluate the budget:
a)
once a day
b)
once a year
c)
on a regular basis
d)
when things look incorrect
12.
What is income?
a)
Money spent
b)
Money earned
c)
Money saved
d)
Money invested
13.
The only two ways you can increase your monthly savings is by earning more money or spending less money.
a)
TRUE
b)
FALSE
14.
Sarah is a 14-year old girl who likes to spend time shopping with her friends on the weekend. She is able to go shopping because she earns money by babysitting for 3 different families. Sarah has the following monthly expenses and income: Monthly Allowance = $20, Payment for babysitting Family 1 = $25, Snacks = $12, Payment for babysitting Family 2 = $30, Shopping = $60, iTunes Music Downloads = 10 per month @ $1.25 each download, Payment for babysitting Family 3 = $30. How much money does Sarah earn?
a)
105
b)
20.5
c)
84.5
d)
189.5
15.
Keeping accurate records and using a spending plan helps people:
a)
learn how to live within their means
b)
spend as much money as they want
c)
stay out of financial trouble
d)
both A and C
16.
What is the amount of money you earn when you have a savings account?
a)
principal
b)
interest
c)
premium
d)
savings
17.
A specific task done as a part of the routine of one's occupation is a(n):
a)
career
b)
occupation
c)
job
d)
responsibility
18.
The most common way for people to get money is by:
a)
volunteering
b)
working
c)
fundraising
d)
earning interest
19.
People performing mental or physical work to produce goods and services are:
a)
capital resources
b)
natural resources
c)
human resources
d)
financial resources
20.
Which of the following are considered to be natural resources?
a)
TV announcers
b)
bankers
c)
fish
d)
farmers
21.
Sarah is a 14-year old girl who likes to spend time shopping with her friends on the weekend. She is able to go shopping because she earns money by babysitting for 3 different families. Sarah has the following monthly expenses and income: Monthly Allowance = $20, Payment for babysitting Family 1 = $25, Snacks = $12, Payment for babysitting Family 2 = $30, Shopping = $60, iTunes Music Downloads = 10 per month @ $1.25 each download, Payment for babysitting Family 3 = $30. How much money does Sarah spend?
a)
105
b)
20.5
c)
84.5
d)
189.5
22.
Expenses, such as rent or a car payment, that remains the same from month to month are:
a)
variable expenses
b)
fixed expenses
c)
common expenses
d)
monthly expenses
23.
What is an expense?
a)
Money spent
b)
Money earned
c)
Money saved
d)
Money invested
24.
Sarah is a 14-year old girl who likes to spend time shopping with her friends on the weekend. She is able to go shopping because she earns money by babysitting for 3 different families. Sarah has the following monthly expenses and income: Monthly Allowance = $20, Payment for babysitting Family 1 = $25, Snacks = $12, Payment for babysitting Family 2 = $30, Shopping = $60, iTunes Music Downloads = 10 per month @ $1.25 each download, Payment for babysitting Family 3 = $30. How much money does Sarah save?
a)
105
b)
20.5
c)
84.5
d)
189.5
25.
Which of the following are potential sources of income for middle school students?
a)
buying snacks at the store
b)
volunteering for park clean up
c)
babysitting and mowing lawns
d)
none of these
26.
Which of the following would be an example of a fixed expense?
a)
rent
b)
gas
c)
groceries
d)
clothing
27.
People use a checking account for the following reasons EXCEPT:
a)
reduces the need to carry large amounts of cash
b)
written records of expenses
c)
convenience
d)
earn large amounts of interest
28.
What is a monthly bank statement?
a)
A report that lists each monetary transaction and the current beginning and ending account balance.
b)
A slip that contains the account number and allows money to be deposited into the correct account.
c)
A piece of paper pre-printed with the account holder's information and is used to purchase items.
d)
A plastic card that is connected to an individual�s bank account that can be used to make purchases.
29.
The following are benefits to creating a spending plan or budget except:
a)
encourage individuals to spend more money
b)
track income and expenses
c)
help individuals meet financial goals
d)
help individuals live within their income
30.
A person who takes the risk and gathers the resources to provide a new or improved good or service to the marketplace is called a(n):
a)
risk taker
b)
trendsetter
c)
engineer
d)
entrepreneur
31.
The person who checks out your purchases at the grocery store is which type of resource?
a)
natural resource
b)
capital resource
c)
human resource
d)
none of these
32.
Which of the following are NOT potential sources of income for middle school students?
a)
Allowance
b)
Babysitting
c)
Full-time job
d)
Gifts
33.
When a person gives up some of one thing in order to acquire more of another it is a:
a)
mistake
b)
trade-off
c)
decision
d)
choice
34.
In order to meet your short-term goals, it is important to keep your expenses __________ the money you earn.
a)
higher than
b)
lower than
c)
equal to
d)
the same as
35.
A bank account that allows a customer to deposit and withdraw money and write checks or use a debit card is known as a:
a)
savings account
b)
joint account
c)
checking account
d)
personal account
36.
The first step in creating a budget is:
a)
evaluating your budget
b)
maintaining financial records
c)
setting financial goals
d)
planning budget categories
37.
In order to maintain a budget, it is important to:
a)
learn how to get the most out of your money.
b)
exercise self-control and not indulge in unnecessary spending.
c)
evaluate the budget regularly and keep good records.
d)
all of these
38.
___________________ occurs when there is a short supply (or shortage) because your wants are greater than your needs.
a)
Scarcity
b)
Shortfall
c)
Sparsely
d)
Deficiency
39.
Which of the following would be an example of a variable expense?
a)
clothing
b)
rent
c)
insurance
d)
car payment
40.
Man made goods that are produced for the purpose of producing other goods and services are called:
a)
human resources
b)
natural resources
c)
capital resources
d)
unlimited resources
100 %
