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Financial Literacy Make-Up Assignment

Total questions: 20

Worksheet time: 27mins

Name
Class
Date
1.

When developing a savings plan, what should you remember?

a)

wait until I'm older

b)

pay myself first

c)

pay off debt first

d)

invest in high risk

2.

When is an item considered an asset?

a)

While you are making monthly payments on time

b)

Converting an asset into cash

c)

When cash is used for emergencies

d)

When it is fully paid off and can be sold for cash

3.

Which of the following are considered variable expenses? (You can choose more than one.)

a)

Magazine subscription

b)

Electricity

c)

Insurance coverage

d)

Clothing

e)

Recreation and vacation

4.

Which of the following are considered fixed expenses? (You can choose more than one.)

a)

Cable subscription

b)

Electricity

c)

Insurance coverage

d)

Rent

e)

Medical fees

5.
This is an obligation of repayment, usually including principal plus interest; any time you owe someone money.
a)
compound interest
b)
emergency fund
c)
APR
d)
debt
6.

What are stocks?

a)

sharing something

b)

An ownership share in a company

c)

A graph with pointy arrows that are red and green

7.

What is investment?

a)

money spent on something with the goal of making more money

b)

money spent on other things

c)

money spent on saved products

8.

Budgeting is crucial for financial success

a)

somewhat

b)
c)
9.

According to the 50/20/30 rule what three categories is your after tax income allocated to?

a)

needs, savings and wants

b)

housing, investments and vacations

c)

utilities, discretionary spending, savings

d)

fixed expenses, variable expenses, discretionary expenses

10.
What two things does a budget compare?
a)
Income and Expenses
b)
Savings and Interest
c)
Income and Investments
d)
Expenses and Expenditures
11.
Which of the following is a true statement about saving receipts?
a)
Saving receipts allows you to keep an accurate record of your spending.
b)
The more receipts you save, the more money you can save.
12.
This is a series of envelopes that are divided into categories(food, entertainment, gas, etc.) and are used to store cash for planned monthly expenses
a)
a written budget
b)
a written cash flow statement
c)
an impulse purchase
d)
an envelope system
13.

when budgets are automatically set at zero and budget holders have to argue their case to receive any funds.

a)

flexible budget

b)

depreciation

c)

zero budget

d)

financial analysis

14.

The zero-budget is the best method of budgeting because:

a)

This type of budget is less complicated than other types of budgets

b)

A zero-based budget allows less money for wants

c)

Sticking to a zero-based budget requires less discipline

d)

The zero-based budget ensures that every dollar you make is assigned a specific purpose

15.
An example of a SMART Goal requiring a budget.
a)
Wanting to earn honor roll
b)
Wanting to buy new furniture next month by saving $50 each check
c)
Wanting to make a sports team
d)
Wanting to wear jeans on Friday
16.

A store sells you a new book for $8.00. A used bookstore sells it for $5.00. How much would you save if you bought the used book?

a)

$8.00

b)

$6.00

c)

$4.00

d)

$3.00

17.

the average cost of producing a single unit of output.

a)

unit costs

b)

overheads

c)

profit centre

d)

budget

18.

Sales tax is...

a)

A tax on the selling price of an item or service you purchase.

b)

Are objects you use to pin up a sale sign.

c)

A tax that is added to the balance of a savings account.

19.
Sales tax is __________ to the price
a)
subtracted
b)
added
c)
multiplied
d)
divided
20.
Discount is ____________ from the price.
a)
added
b)
divided
c)
subtracted
d)
Mr. Ed is very old