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PBMF Final Exam

Total questions: 20

Worksheet time: 15mins

Name
Class
Date
1.

The aspects of making, selling, and providing products in exchange for money is known as what?

a)

Marketing

b)

Business

c)

Product

d)

Good

2.

A _______is a tangible item that is produced and sold to consumers.

a)

Service

b)

Good

c)

Product

d)

Idea

3.

Which of the following is NOT an example of a service?

a)

Car

b)

Car repair

c)

Housecleaning

d)

Lawn mowing

4.

A method of selling that involves analyzing customer wants and needs and aiming to fulfill them better than competitors is known as what?

a)

Marketing mix

b)

Marketing function

c)

Marketing concept

5.

The amount of a loan is called the _____.

a)

collateral

b)

down payment

c)

principal

d)

capital

6.

A maximum amount you are allowed to owe at one time on your credit account is called the

a)

credit limit

b)

finance charge

c)

charge limit

d)

installment

7.

When you use a debit card in a store or restaurant

a)

the amount of the purchase is deducted from your bank account

b)

the amount of the purchase is deducted from the stored value on the card.

c)

you pay a surcharge

d)

you are borrowing money

8.

A business owned fully or in part by the government is known as what?

a)

Public enterprise

b)

Marketing enterprise

c)

Private enterprise

d)

Industry enterprise

9.

What is a share in ownership and a claim to a portion of a corporation’s profits called?

a)

Secondary

b)

Corporation

c)

Stock

d)

Private enterprise

10.

Creating a budget can make you feel powerful! Why?

a)

People who budget earn more money, so they can live a better life

b)

A budget puts you in control of your spending and saving, so you make good decisions and feel more confident

c)

You can't really budget unless you have an important job, which means that other people look up to you

d)

Budgeting is extremely easy, so once you set it up, you are done for good and can spend time on other things

11.

Adda has just moved into her own apartment and is working full time. Each item below would go into her budget in the "Monthly Bills" category EXCEPT...

a)

Cell phone plan

b)

Rent

c)

Clothing

d)

Renters insurance

12.

The two main portions of a budget are...

a)

the money coming in (income) and the money you're spending (expenses)

b)

the money coming in (expenses) and the money you're spending (income)

c)

the cash you are spending in stores and the bills you are paying online

d)

the items you want to buy and the money you need to save for retirement

13.

Why is it important to be able to decide if an item is a NEED or a WANT?

a)

Needs are worth spending money on, but you should never spend on a want

b)

Needs can be very expensive, but wants are usually far less expensive so you don't need to keep track of them

c)

You cannot create a budget that has both needs and wants included -- you need them each in a separate budget

d)

When you budget, you should make sure all your needs are met first, then you can decide to spend on wants

14.

Ethan is considering updating his cell phone plan to include unlimited data. In which situation could unlimited data be a NEED for Ethan?

a)

He loves watching movies, and he's already paid for all the streaming services, so now he needs the data

b)

Unlimited data will allow him to play video games with his friends even when he's not at home, and he LOVES video games

c)

He has so many social media accounts, and he needs to be able to check them throughout the day, even while in school

d)

He has an hour-long bus ride each direction to and from school, and he needs that time to complete homework and submit it all online

15.

Justine's part-time job pays her $8 per hour. She works for 10 hours this pay period. How much is her gross pay?

a)

$8

b)

$80

c)

$80, minus any taxes she has to pay

d)

$80, plus any taxes she has to pay

16.

What is one benefit of borrowing money from a friend or family member instead of from the bank?

a)

You don't have to repay your friends or family if you don't want to

b)

You can borrow more money from a friend or family member because they have more cash than banks

c)

Friends and family cannot legally charge you interest on the loan, but banks can

d)

Friends and family will typically work with you to set up a repayment plan you can afford

17.

Justin really wants to attend the 8th-grade graduation ceremony, dance, and field day, but all the tickets combined cost $75, and he doesn't have that much. Justin has no job, gets no allowance, and his birthday was just last month, so he's not expecting any gifts soon. What's a potential downside of asking his friend Kylie for a loan?

a)

Kylie will have to give him the money, even if she doesn't want to

b)

As soon as she lends him the money, they won't be able to be friends any more

c)

It might cause problems in their friendship if Justin doesn't repay her on time or if he then asks for even more money

d)

The school won't sell him tickets if they know he borrowed the money instead of earning it himself

18.

What is the key difference between a credit card and a debit card?

a)

Credit cards allow you to borrow money to pay for things, while debit cards take money straight from your own checking account

b)

Wealthy people use credit cards, while people with lower incomes use debit cards

c)

Credit cards come from credit unions, while debit cards come from banks

d)

You can only use credit cards if you are over 25, but you can use debit cards as long as you are over 18

19.

Craig isn't sure if he should open up a credit card account or get a bank loan. What question is MOST useful in helping him decide which financial product he should get?

a)

Are you responsible with your money?

b)

Are you trying to make a bunch of small purchases over time or one large purchase?

c)

Are you using the money to purchase an item that is a need or a want?

d)

How much money do you have in your bank account?

20.

Kervin really wants to buy a new bike because his old one is too small now. He's trying to decide if he should use his debit card or credit card. What's one reason he should be careful about using credit?

a)

Credit will take the money straight from his checking account, lowering his bank balance

b)

Credit will force him to pay taxes on his bike purchase

c)

Credit will charge him interest every month until he repays his full balance

d)

Credit will force him to buy a cheaper bike than he could with debit