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Unit 5.2 Budgeting

Total questions: 35

Worksheet time: 2hrs 45mins

Name
Class
Date
1.

Which of the following is generally the most expensive category in a person’s budget?

a)

Healthcare

b)

Clothing

c)

Transportation

d)

Housing

2.

When making a budget, a person’s needs should come before their wants.

a)

True

b)

False

3.

If an expense can be cut from your budget to save money, it is considered a ______.

a)

want

b)

need

c)

income

d)

savings

4.

Of all the choices, which one should you budget for first?

a)

Groceries

b)

Entertainment

c)

Cell Phone Bill

d)

New Car

5.

What is a need?

a)

Something you must have

b)

Something you'd like to have

c)

Something you would like to do

d)

All of the above

6.

8.The money an individual spends regularly for items or services.

a)

Budget

b)

Expense

c)

Checking Account

d)

Financial Plan

7.
Which of the following is an example of a variable expense
a)
Food
b)
Rent
c)
Car payment
d)
Student loan
8.
Budgeting is crucial to your financial success.
a)
True
b)
False
9.

Fixed or variable expense: Groceries

a)

Fixed

b)

Variable

10.

Car Payment is an example of what: a fixed expense or a variable expense?

a)

Fixed Expense

b)

Variable Expense

11.
Car insurance is a ____________ expense
a)
fixed
b)
variable
12.
Medical care is an example of a ______
a)
Need 
b)
Want
13.

A financial plan is called a

a)

budget

b)

tax

c)

allowance

d)

income

14.
Preparing a budget includes
a)
Income, Expenses, Saving
b)
Only listing your expenses
c)
Only listing your debts
d)
Only listing your income
15.
Examples of Fixed Expenses include:
a)
Mortgage, loans, rent
b)
Cable, entertainment, food
c)
Gas, food, phone
d)
Clothing, gas, food
16.

Which one is a fixed (same amount, same time) payment?

a)

food

b)

power

c)

mortgage

d)

petrol

17.
Car Payment
a)
Fixed Expense
b)
Variable Expense
18.

Fixed or variable expense: Rent?

a)

Fixed

b)

Variable

19.
Utilities
a)
Fixed Expenses
b)
Variable Expenses
20.
Gas
a)
Fixed Expense
b)
Variable Expense
21.
Car Insurance
a)
Fixed Expense
b)
Variable Expense
22.
Entertainment
a)
Fixed Expense
b)
Variable Expense
23.
Dining Out
a)
Fixed Expense
b)
Variable Expense
24.
Homeowner's Insurance
a)
Fixed Expense
b)
Variable Expense
25.
Clothing
a)
Fixed Expense
b)
Variable Expense
26.
Electricity is an example of a ______ expense
a)
fixed
b)
variable
27.
Car insurance is a ____________ expense
a)
fixed
b)
variable
28.
A vacation is an example of a _________
a)
need
b)
want
29.

The amount of money you take home is called your

a)

Net Pay

b)

Gross Pay

c)

Total Pay

d)

Available Pay

30.

The amount of money you make is called:

a)

Taxes

b)

Net Pay

c)

Gross Pay

d)

Available Pat

31.

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

a)

Gross Income

b)

Debt

c)

Expense

d)

Budget

32.

The amount an employee earns once taxes and other items are deducted from his or her gross pay.

a)

Budget

b)

Debt

c)

Gross Income

d)

Net Income

33.

The state of owing money to another individual or business, or the amount of money borrowed.

a)

Gross Income

b)

Net Income

c)

Debt

d)

Budget

34.

The total amount of money an individual has earned before taxes are taken out.

a)

Net Income

b)

Checking Account

c)

Gross Income

d)

Overdraft

35.

The money an individual spends regularly for items or services.

a)

Budget

b)

Expense

c)

Checking Account

d)

Financial Plan