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Worksheets

Dollar and Sense Spring Semester Test

Total questions: 64

Worksheet time: 1hrs 4mins

Name
Class
Date
1.

What does cost comparison mean?

a)

Comparing the cost of two or more goods or services in an effort to find the best value.

b)

Identifying the cost of meeting future needs and goals.

c)

Payment received for goods or services, including employment.

d)

Cost paid to secure a good or service.

2.

What does Cost-Benefit Analysis mean?

a)

Analyzing whether the cost of an item is more than, equal to, or less than the benefit that comes from purchasing that item.

b)

The price paid for a good or service.

c)

A plan for future spending and saving, weighing estimated income against estimated expenses.

d)

Payment received for goods or services, including employment.

3.

What is cost?

a)

Analyzing whether the cost of an item is more than, equal to, or less than the benefit that comes from purchasing that item.

b)

The price paid for a good or service.

c)

Identifying the cost of meeting future needs and goals.

d)

Payment received for goods or services, including employment.

4.

What is benefit?

a)

Analyzing whether the cost of an item is more than, equal to, or less than the benefit that comes from purchasing that item.

b)

An outcome that promotes well-being.

c)

Goals to achieve over specific periods of time.

d)

Cost paid to secure a good or service.

5.

What does Calculating Future Expenses mean?

a)

Analyzing whether the cost of an item is more than, equal to, or less than the benefit that comes from purchasing that item.

b)

The price paid for a good or service.

c)

Identifying the cost of meeting future needs and goals.

d)

Cost paid to secure a good or service.

6.

What is a budget?

a)

Analyzing whether the cost of an item is more than, equal to, or less than the benefit that comes from purchasing that item.

b)

An outcome that promotes well-being.

c)

A plan for future spending and saving, weighing estimated income against estimated expenses.

d)

Payment received for goods or services, including employment.

7.

What is income?

a)

Identifying the cost of meeting future needs and goals.

b)

A plan for future spending and saving, weighing estimated income against estimated expenses.

c)

Payment received for goods or services, including employment.

d)

Cost paid to secure a good or service.

8.

What are expenses?

a)

Comparing the cost of two or more goods or services in an effort to find the best value.

b)

A plan for future spending and saving, weighing estimated income against estimated expenses.

c)

Payment received for goods or services, including employment.

d)

Cost paid to secure a good or service.

9.

Buying a cellphone is what kind of goal?

a)

Short Term

b)

Long Term

10.

Going on vacation to Greece is what kind of goal?

a)

Short Term

b)

Long Term

11.

Saving for a down payment on a house is what kind of goal?

a)

Short Term

b)

Long Term

12.

Saving for a down payment on a car is what kind of goal?

a)

Short Term

b)

Long Term

13.

Buying your friend a birthday present is what kind of goal?

a)

Short Term

b)

Long Term

14.

Getting the newest iPhone is a-

a)

Need

b)

Want

15.

Paying your rent/mortgage is a-

a)

Need

b)

Want

16.

Buying clothes is a-

a)

Need

b)

Want

17.

Buying Gucci Slides is a-

a)

Need

b)

Want

18.

Buying a car so you can get to work is a-

a)

Need

b)

Want

19.

Buying a PS5 is a-

a)

Need

b)

Want

20.

Making payments on loans is a-

a)

Need

b)

Want

21.

What does a lower interest rate mean?

a)

You will pay a lower interest percentage on a loan

b)

You will pay a higher interest percentage on a loan

c)

You will not have to pay an interest percentage on a loan.

22.

What is a down payment?

a)

The amount of money you pay up front to purchase a car or house

b)

The amount of money you pay over the life of the loan

c)

The amount of money required to purchase the product without a loan

23.

A 350 is a ______ credit score.

a)

Very Poor

b)

Fair

c)

Good

d)

Very Good

e)

Exceptional

24.

A 356 is a ______ credit score.

a)

Very Poor

b)

Fair

c)

Good

d)

Very Good

e)

Exceptional

25.

A 800 is a ______ credit score.

a)

Very Poor

b)

Fair

c)

Good

d)

Very Good

e)

Exceptional

26.

A 749 is a ______ credit score.

a)

Very Poor

b)

Fair

c)

Good

d)

Very Good

e)

Exceptional

27.

A 790 is a ______ credit score.

a)

Very Poor

b)

Fair

c)

Good

d)

Very Good

e)

Exceptional

28.

A 650 is a ______ credit score.

a)

Very Poor

b)

Fair

c)

Good

d)

Very Good

e)

Exceptional

29.

A 675 is a ______ credit score.

a)

Very Poor

b)

Fair

c)

Good

d)

Very Good

e)

Exceptional

30.

Is it safe to give your Netflix password to your roommate?

a)

Yes

b)

No

31.

What is a budget?

a)

The amount of money the government takes out of your paycheck.

b)

A document that you create to track how much money you have coming in (i.e. paycheck) and going out (i.e. spending).

c)

A loan you take out for a home

d)

A list of what you got paid and the deductions from that pay period.

32.

Your phone bill is what type of expense?

a)

Fixed Expense

b)

Variable Expense

33.

Buying clothes/makeup is what type of expense?

a)

Fixed Expense

b)

Variable Expense

34.

Eating out is what type of expense?

a)

Fixed Expense

b)

Variable Expense

35.

Gross Income is-

a)

The amount of money you earn BEFORE taxes and other deductions are taken out.

b)

Money you get from doing a gross job like cleaning a toilet.

c)

The amount of money you earn AFTER taxes and other deductions are taken out.

d)

The total amount of all the money you have ever earned in your life time.

36.

Which of the following is an unexpected expense that would require you to have an emergency fund?

a)

Water Bill

b)

You lose your job

c)

Buying your mom a nice birthday present

d)

Taking a vacation to swim with jellyfish

37.

What is a CD?

a)

Savings certificate issued by a bank or credit union

b)

A deposit account that earns interest and is issued by a bank or credit union

c)

A type of checking and savings account issued by a bank or credit union

d)

A collection of stocks, bonds or other investments that are professional managed in a portfolio

38.

What is a Mutual Fund?

a)

Savings certificate issued by a bank or credit union

b)

A deposit account that earns interest and is issued by a bank or credit union

c)

A type of checking and savings account issued by a bank or credit union

d)

A collection of stocks, bonds or other investments that are professional managed in a portfolio

39.

What kind of debt is getting a loan to buy a car?

a)

Good Debt

b)

Bad Debt

40.

What kind of debt is getting a loan to go to college?

a)

Good Debt

b)

Bad Debt

41.

What kind of debt is getting a loan to buy an expensive TV?

a)

Good Debt

b)

Bad Debt

42.

What kind of debt is using a credit card to buy a PS5 because you don't have enough money in your bank account?

a)

Good Debt

b)

Bad Debt

43.

What kind of debt is using a credit card to buy a PS5 because you don't have enough money in your bank account?

a)

Good Debt

b)

Bad Debt

44.

What kind of debt is getting a loan to buy a home?

a)

Good Debt

b)

Bad Debt

45.

How do you MAKE money from interest?

a)

When you are the lender.

b)

When you are the borrower.

c)

You will always lose money when interest is involved.

d)

You buy lots of product and then sale them for a higher price than you paid for them.

46.

What does a bank do when you put your money into an account that earns interest?

a)

They use your money to give other people loans

b)

They use your money to buy office supplies for the workers

c)

They don't touch it.

d)

They take it all to a casino and gamble with it.

47.

Which of the following summarizes how equity can be calculated?

a)

Depreciation plus appreciation equals equity

b)

Value minus debt equals equity

c)

Down payment minus loan amount equals equity

d)

Principal plus interest equals equity

48.

How much equity must you have to have outright ownership of a property?

a)

No equity

b)

50 percent equity

c)

100 percent equity

d)

More than 100 percent equity

49.

Private mortgage insurance is mandatory for which of the following?

a)

Lenders granting loans of $350,000 or more

b)

Lenders working exclusively with first-time home buyers

c)

Homeowners with less than 20 percent home equity

d)

Homeowners in flood, earthquake or tornado zones

50.

With an amortized loan, early payments primarily pay for which of the following?

a)

Principal

b)

Interest

c)

Taxes

d)

Insurance

51.

ARM is short for which of the following?

a)

Amortized real estate mortgage

b)

Approved refinancing mortgagor

c)

Annually renewed mortgage

d)

Adjustable-rate mortgage

52.

Fannie Mae and Freddie Mac perform which of the following functions?

a)

Provide financial security to senior citizens by allowing conversion of home equity into cash

b)

Help eligible veterans and service people afford home ownership by lowering credit and down payment requirements

c)

Ensure continuous funds for home loans by securitizing conforming loans

d)

Allow homeowners to lower interest rates and payments through refinancing of their mortgages

53.

Which of the following is the general rule distinguishing real property from personal property as stated in the presentation?

a)

If it requires a tool to remove, it is part of the real property

b)

If it can be sold in an estate sale, it is personal property

c)

If it is worth more than $1,000, it is part of the real property

d)

If it will fit in a motor vehicle, it is personal property

54.

After a home purchase successfully closes, which of the following typically happens to earnest money?

a)

It is given back to the buyer

b)

It is given to the seller

c)

It is paid to the real estate agent

d)

It is applied to the down payment

55.

The process of a certified professional assessing the value of the property is known as which of the following?

a)

Appraisal

b)

Disclosure

c)

Inspection

d)

Jargon

56.

Which type of skills does the presentation recommend you have before buying a home?

a)

Basic home repair skills

b)

Painting skills

c)

Public speaking skills

d)

Money-management skills

57.

According to the presentation, lenders judge your ability to borrow based on which of the following?

a)

Age, gender and location

b)

Education, income and family size

c)

Income-to-age ratio

d)

Debt-to-income ratio

58.

The presentation said most recommend having a down payment equal to what percentage of the home price?

a)

5 percent

b)

10 percent

c)

20 percent

d)

25 percent

59.

According to the presentation, most sellers will only accept an offer from a buyer with which of the following?

a)

The same real estate agent as the seller

b)

An offer more than the asking price

c)

An FHA or VA loan

d)

A pre-approval letter

60.

John Darden said one common mistake home buyers make is hiring which of the following?

a)

A professional home inspector

b)

An escrow lawyer

c)

A friend or relative as a real estate agent

d)

A personal home shopper

61.

The presentation recommends bringing which of the following to a house when looking at it with your real estate agent?

a)

Everyone who will live in the house

b)

A tape measurer

c)

A camera

d)

Someone who has bought a house before

62.

In addition to making sure a home meets your needs, you should also check which of the following?

a)

The home qualifies for government support

b)

The home is a good investment

c)

The home’s seller is easy to work with

d)

The home will incorporate amortization

63.

What does the presentation recommend you do if you find a home fitting your needs and budget?

a)

Continue looking for a few days

b)

Stop searching

c)

Revisit your three favorites

d)

Show the house to your parents

64.

John Darden said a buyer may be able to negotiate to get the seller to pay for which of the following?

a)

Down payment

b)

Home inspection

c)

Closing costs

d)

Homeowners insurance