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Foundations in Personal Finance Pre-Test/Post-Test

Total questions: 20

Worksheet time: 7mins

Name
Class
Date
1.

A liability can be described as

a)

Something you own that has value

b)

Something you owe; a debt

c)

Something that goes down in value over time

d)

Money that you have in a savings account

2.

Which of the following allows invested money to grow over time?

a)

Compound interest

b)

Premium payments

c)

Taxes

d)

Inflation

3.

A plan for spending is called a(n)

a)

Checking account

b)

Economy

c)

Scarcity

d)

Budget

4.

A fee that a bank, credit card company, or other lender charges for the opportunity to

purchase something and pay for it over time.

a)

Interest

b)

Dividend

c)

Credit

d)

Finance rate

5.

The FICO score measures all of the following, except

a)

Debt history

b)

Savings account balance

c)

Types of debt

d)

New debt

6.

Non-wage compensation provided by your employer is known as

a)

Withholding

b)

Employee benefits

c)

Take-home pay

d)

Income

7.

The amount of money you get paid after taxes are taken out is called

a)

Take-home pay

b)

Withholding

c)

Benefit pay

d)

Gross income

8.

Money taken out of your paycheck for taxes is called

a)

Employee benefits

b)

Take-home pay

c)

Withholding

d)

Net pay

9.

Represent small pieces of ownership in a company

a)

Stocks

b)

Bonds

c)

Mutual funds

d)

Certificates of deposit

10.

In which of the following should you keep your emergency fund

a)

Stocks

b)

Money market account

c)

Mutual funds

d)

Certificates of deposit

11.

The money you pay for an insurance policy is called your

a)

Dividend

b)

Coverage

c)

Premium

d)

Co-pay

12.

Which of the following types of insurance would cover your costs associated with a

car accident

a)

Auto

b)

Health

c)

Disability

d)

Long-term care

13.

An economic system based on the private ownership of business and the products

made and sold is called a

a)

Market economy

b)

Command economy

c)

Traditional economy

d)

Mixed economy

14.

An economic system in which the government owns, controls, and regulates all aspects

of production, trade, and income generated by the most valuable resources is called a

a)

Market economy

b)

Command economy

c)

Traditional economy

d)

Mixed economy

15.

A market economy is driven by the economic principle of

a)

The stock market

b)

Supply and demand

c)

Centralized control

d)

Regulation

16.

The monetary value of all goods and services produced in a country in a year is called

a)

Gross domestic product

b)

Currency

c)

Supply and demand

d)

Industry product

17.

The interaction between the various countries of the world is called

a)

Friendship

b)

Economics

c)

Globalization

d)

Business

18.

Which of the following is an example of an economic incentive?

a)

Debit card purchase

b)

Inflation

c)

Online sales or discounts

d)

Buying something for a friend

19.

Everything a company does to get consumers to buy their product is called

a)

Brand loyalty

b)

Marketing

c)

Customer loyalty

d)

Impulse purchase

20.

A person who buys things is called a

a)

Worker

b)

Entrepreneur

c)

Consumer

d)

Merchant