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3.02 POFHS

Total questions: 20

Worksheet time: 10mins

Name
Class
Date
1.

Johnny is observed wearing a short sleeved shirt as he waits for the bus on a cold morning. A jacket for Johnny would be considered a:

a)

need.

b)

want

2.

Why is saving important?

a)

because the future is unpredictable

b)

because people need to buy goods and services to grow the economy

3.

An ability to borrow a limited amount of money on demand, small monthly payments, and no end date are characteristics of which money tool?

a)

debit card

b)

credit card

4.

Fundamental beliefs or practices of personal importance should be placed in which category?

a)

values

b)

income

5.

When Miranda opened her credit card bill, she was surprised to see that the amount she owed was more than the cost of the things she had purchased. What is the probable cause of this difference?

a)

interest

b)

equity

6.

Haley received a bonus and wants to deposit it in an account that allows limited withdrawals, but pays a higher interest rate. Which would be the best type of account for her to use?

a)

money market deposit account

b)

savings account

7.

Which method of payment most likely requires a personal identification number (PIN) to confirm the electronic transfer of funds from an account?

a)

credit card

b)

debit card

8.

Marilyn believes that a portion of her income should go to charitable causes to help those less fortunate. This is an example of:

a)

values.

b)

needs

9.

Darrell's paycheck has had the taxes and benefits deducted. His take home pay is referred to as:

a)

net income.

b)

gross income

10.

When Greg received his first paycheck, he was surprised to see it was much lower than expected. He had not considered the regular deductions that would be taken out of his check. The amount Greg received is referred to as:

a)

net income

b)

weekly wage.

11.

The newlyweds wanted to start their marriage being financially responsible. What tool could they use to keep track of where their money is going?

a)

spending plan

b)

expenses

12.

Which consumer responsibility is being exercised when a consumer checks the prices of different stores to ensure the best price for a product?

a)

the responsibility to be wise with purchasing decisions

b)

the responsibility to use products wisely

13.

Which is the best way to increase the amount of one's savings, without depositing more money?

a)

take advantage of the time value of money

b)

practice “pay yourself last”

14.

In which category are a new car, designer clothes, and gaming systems?

a)

wants

b)

needs

15.

Low interest rates, no membership fees, and grace periods are important criteria to consider when selecting:

a)

credit cards.

b)

savings accounts.

16.

Which are examples of expenses?

a)

interest and bonuses

b)

food and insurance

17.

Samantha is looking for an institution for her money management. She is looking for an account that pays interest on deposits, does not have check writing privileges, and has easy withdrawal access on demand. Which type of account would be best for Samantha?

a)

certificate of deposit

b)

. savings account

18.

Sarah was very upset when her new phone broke the week after she purchased it. In her anger, she went to the local phone store and yelled at the sales person who had nothing to do with it. Which characteristic of being a wise consumer did Sarah violate?

a)

complain effectively and refuse poor equipment

b)

resist high pressure sales people

19.

Quinn is excited about her new job. The salary she was quoted for the position does not have deductions taken out of the amount. What type of income was Quinn quoted to earn?

a)

gross income

b)

weekly income

20.

Money earned from savings accounts and investments is an example of:

a)

income.

b)

expenses.