WorksheetsFinancial Literacy Mid-Term_Fall 2022
Total questions: 50
Worksheet time: 27mins
Which definition matches gross income?
The amount of money made after deductions are taken out
Money that you collect
The amount of money made before deductions are taken out
money that is earned as a result of work
Which definition matches Net income?
money that is earned as a result of working
The amount of money made before deductions are taken out
The amount of money made after deductions are taken out
Money that you collect
Which definition matches income?
Money that you collect
money that is earned as a result of working
The amount of money made before deductions are taken out
The amount of money made after deductions are taken out
A deposit is money ______ your bank account
taken out of
put into
A withdrawal is money ________ of your bank account
put into
taken out
The longer the money is invested the better?
True
False
What is a budget?
A calendar used to plan out your activities for the month
A plan for spending and saving your money
A plan to manage your time for the day
A type of savings account
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...
Cell phone plan
Rent
Clothing
Electricity bill
What is income?
The money that you earn
The money that you spend
Making a withdrawal
Making a phone call
Marshawn is trying to determine if an item at the mall is a NEED or a WANT. Which question will be most helpful?
Will something bad happen if I don't have this?
Do any of my friends have this item?
How happy will this item make me?
Will my teachers be excited if I buy this item, or will they be disappointed?
What is gross pay?
The money that you earn before taking out deductions
The money that you earn after taking out deductions
What is net pay?
The money that you earn before taking out deductions
The money that you earn after taking out deductions
Justine's part-time job pays her $8 per hour. She works for 10 hours this pay period. How much is her gross pay?
$8.00
$80.00
$80.00, minus any taxes she has to pay
$80.00, plus any taxes she has to pay
Brandon receives his paycheck, and it says his gross pay is $250 and his net pay is $200. How much money did he have in deductions this pay period?
$50.00
$200.00
$250.00
$450.00
Why should you use your NET pay when creating a budget?
Your net pay will always be higher, so you'll have more money to spend
Your net pay is a more accurate picture of how much money you have available to spend or save
Your employer knows what your gross pay is, but you only know what your net pay is
Once you have your net pay, you can figure out how much to deduct in taxes, and then you can do your budget
Three of these items represent services provided by the federal government using taxpayer money. Which one represents a personal expense instead?
National Defense
Social Security
Medicare
Car insurance
Who has to pay taxes to the US government?
Every citizen, regardless of their age or working status
Every person or company that earns income in the US
Anyone who owns a home or attends a public school
No one has to - taxes are a voluntary program
Kylie plans on using the 50/30/20 rule for budgeting. How will she split her budget?
50% needs, 30% wants, 20% savings
50% budget, 30% needs, 20% wants
50% saving, 30% needs, 20% wants
$50 needs, $30 wants, $20 savings
A paycheck consists which of the following? (Select two)
Check
Paystub
Permission slip form
Waiver form
Which of the following is a want?
Food
Water
Shelter
Video game
What is a tradeoff?
Something you gain or lose when making a decision
A way of making money
A way to save money
A way to spend money
Which of the following is a sign that you have a budget deficit?
Your savings account balance grows every month.
You overdraw your checking account on a consistent basis (with a $34 cost per overdraft)
Your checking account balance grows every month.
You pay more than the minimum monthly loan payment towards your student loans.
Leila just graduated from college and is comparing a few different cities to move to. Which of these factors is the LEAST important thing for her to consider right now?
Average rent for an apartment
Food and grocery store options in the area
Employment opportunities
Average cost of Uber, Lyft, or taxi fare
Always use permanent ink when writing a check.
True
False
Writing the dollar amount in both numbers and words makes your check more secure.
True
False
What is wrong with this check?
Name is incomplete
Check amount is not written out
Signature issues
Date issues
Which section is NOT found on
a paper check?
Time of Purchase
Payee
The person you are writing a check to is called the …
Payee
Recipient
Online banking can help you pay your bills online from your checking account.
Yes
No
After you write a check you don’t always have to complete the check register.
True
False
Your signature should be written in cursive.
True
False
A tool for organizing transactions and keeping track of an account balance is....
Transfer
Check Register
Withdrawal
Deposit
The ______ represents how much money you have in your checking or savings account.
balance
check
withdrawal
deposit
A check (a) if you write a check with insufficient funds.
If you use your debt card or write a check and don't have money to cover it you will be charged a (a) .
When you deposit a check in your account, it is available immediately in all circumstances.
True
False
At an ATM, you can ________.
deposit money
withdraw money
transfer money
All of these
The ____ Endorsement is used to transfer a check to another person.
Blank
Special
Restrictive
Signature
The ____ Endorsement is used to make sure that money is deposited only into your account.
Blank
Special
Restrictive
Signature
What is a reason for why so many Americans live paycheck-to-paycheck?
Many people are paying themselves first and then spending
Many people only buy what they NEED, not what they WANT
Many people impulse shop
Many people spend within their budget
What might you need to open a savings account? (hint: choose 2 correct answers)
Minimum opening deposit
Your previous year's tax returns (or your parents')
The routing number to a checking account
Identification
