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FLQ-10

Total questions: 50

Worksheet time: 17mins

Name
Class
Date
1.

In which cash flow quadrant does the amount of active work determines your income?

a)

employee

b)

business owner

c)

investor

2.

In which cash flow quadrant does the amount of active work determines your income?

a)

self-employed

b)

business owner

c)

investor

3.

In which cash flow quadrant does the number of employees determines your income?

a)

E

b)

B

c)

I

4.

In which cash flow quadrant does a person spend money in hope of making more money?

a)

E

b)

B

c)

I

5.

In which cash flow quadrant is the employer & employee one and the same?

a)

E

b)

B

c)

I

d)

S

6.

Which one is an example of 2nd cash flow quadrant?

a)

plumber

b)

waiter in a restaurant

c)

mutual fund investor

d)

restaurant owner

7.

Which set of professions fits under the 1st cash flow quadrant?

a)

Receptionist

Teacher

Accountant

Nurse

b)

Receptionist

Teacher

Accountant

Freelance writer

c)

Receptionist

Teacher

Accountant

Angel investor

d)

Receptionist

Teacher

Accountant

Hair stylist

8.

Which set of professions fits under the 3rd cash flow quadrant?

a)

Franchise owner

Restaurant owner

Online retailer

Store owner

b)

Franchise owner

Restaurant owner

Online retailer

college professor

c)

Franchise owner

Restaurant owner

Online retailer

stocks trader

d)

Franchise owner

Restaurant owner

Online retailer

venture capitalist

9.

Which set of professions fits under the 4th cash flow quadrant?

a)

angel investor / venture capitalist / private equity investor / mutual fund investor

b)

angel investor / venture capitalist / private equity investor / teacher

c)

angel investor / venture capitalist / private equity investor / store owner

d)

angel investor / venture capitalist / private equity investor / personal trainer

10.

Which set of professions fits under the 2nd cash flow quadrant?

a)

Freelance writer / Personal trainer / Real estate agent / Carpenter

b)

Freelance writer / Personal trainer / Real estate investor / Carpenter

c)

Freelance writer / Personal trainer / waiter / Carpenter

d)

Freelance writer / Personal trainer / Carpenter / Index investor

11.

Match the following

a)

teacher

1.

E-Quadrant

b)

electrician

2.

S-Quadrant

c)

showroom owner

3.

B-Quadrant

d)

angel investor

4.

I-Quadrant

12.

Match the following

a)

engineer

1.

E-Quadrant

b)

consultant

2.

S-Quadrant

c)

company owner

3.

B-Quadrant

d)

venture capitalist

4.

I-Quadrant

13.

The wealthiest individuals in the world typically belong to this quadrant.

a)

E

b)

S

c)

B

d)

I

14.

Business owners earn money through the employees that work for them.

a)

True

b)

False

15.

Investors own assets that generate passive income for them.

a)

True

b)

False

16.

Which quadrant fits in the category of active income?

a)

S

b)

B

c)

I

17.

In which quadrant income does not depend on active work?

a)

S

b)

B

c)

E

18.

In which quadrant income depends on active work?

a)

S

b)

B

c)

I

19.

Time = Income

a)

E

b)

B

c)

I

20.

Employees = Income

a)

E

b)

B

c)

I

21.

$$$ = $$$$$$

a)

E

b)

B

c)

I

22.

What is the most efficient way to save money?

a)

income - expenses = savings

b)

savings - income = expenses

c)

income - savings = expenses

d)

savings - expenses = income

23.

Which of the following is correct:

a)

savings = income - (needs + wants)

b)

income = needs + wants

c)

needs = income - wants

d)

savings = income - wants

24.

A company's net cash flow is $25000 in January. Calculate the cash inflow if the cash outflow is $125000.

a)

$150,000

b)

$200,000

c)

$125,000

d)

$175,000

25.

Your monthly income is $9000. How will you allocate money towards your needs, wants, and savings as per the budget rule?

a)

Needs = $4500

Wants = $2700

Savings = $1800

b)

Needs = $4500

Wants = $1800

Savings = $2700

c)

Needs = $4500

Wants = $2500

Savings = $2000

d)

Needs = $4500

Wants = $2800

Savings = $1900

26.

Your monthly income is $8000. How will you allocate money towards your needs, wants, and savings as per the budget rule?

a)

Needs = $4000

Wants = $2400

Savings = $1600

b)

Needs = $4000

Wants = $2200

Savings = $1800

c)

Needs = $4000

Wants = $2100

Savings = $1900

d)

Needs = $4000

Wants = $3000

Savings = $1000

27.

VAT is collected by all sellers in each stage of the supply chain.

a)

True

b)

False

28.

Sales tax is collected from the retailer when the final sale in the supply chain is reached.

a)

True

b)

False

29.

What is the 3rd step in making a budget?

a)

looking ahead

b)

identify income and expenses

c)

separate needs from wants

d)

design your budget

e)

put your plan into action

30.

Calculate the net cash flow of a bakery if the total cost of producing cakes & cookies is $2350 and the total sales are $4500.

a)

$2105

b)

$2050

c)

$2150

d)

$2250

31.

What is the purpose of calculating EMI before taking a loan?

a)

to know if you can afford the monthly payments

b)

to know how much money you need to save for the down payment

c)

to know how long the loan period should be

d)

to know how much money you need to borrow

32.

If a bank agrees to pay you a loan for a period of 3 years, how many EMIs will you have to pay?

a)

60

b)

36

c)

48

d)

32

33.

Your yearly income is $96000. How will you allocate money towards your needs, wants, and savings on a monthly basis as per the budget rule?

a)

Needs = $8000

Wants = $4800

Savings = $3200

b)

Savings = $1600

Wants = $2400

Needs = $1800

c)

Wants = $2400

Needs = $4000

Savings = $1600

d)

Needs = $4000

Wants = $3000

Savings = $1500

34.

Which one is true?

a)

Bank pays interest to its depositors.

b)

Bank collects interest from its depositors.

35.

Which one is true?

a)

Bank collects interest from its depositors.

b)

Bank collects interest from its borrowers.

36.

Which one is true?

a)

The interest rate in a savings account is less than the interest in a fixed deposit account.

b)

The interest rate in a savings account is more than the interest in a fixed deposit account.

37.

Jack always finds himself in debt due to overspending. What can he do to be more financially responsible?

a)

create a budget and stick to it

b)

demand a salary hike

c)

use credit card for shopping

d)

stop stepping out of home

38.

Cars are expensive, so buying one brings with it some financial risk. What is one way to guard against that risk?

a)

buy auto insurance

b)

buy a second car

c)

drive very slowly

39.

How are personal loans repaid?

a)

in installments over time, with interest

b)

with a hand-written thank you card and flowers

c)

as a single payment after 5 years without interest

40.

You have a good job that allows you to pay all of your expenses. What other financial responsibility do you have?

a)

saving for your emergency fund and your retirement fund

b)

letting everyone know how much you earn

41.

Which one is true regarding budget?

a)

Without a budget, our spending can go out of hand.

b)

It is very difficult to maintain a budget.

c)

Budget is a surest way of getting bankrupt.

42.

The limit on the credit card is decided by the issuing banks based on your credit scores.

a)

True

b)

False

43.

A credit score is a score you get that depicts your creditworthiness.

a)

True

b)

False

44.

People with good credit scores are considered more reliable and trustworthy. They easily get loans at low-interest rates.

a)

True

b)

False

45.

A credit score shows a person's financial health. The lesser the credit score, the better is his/her financial health.

a)

False

b)

True

46.

The credit score of an individual can range anywhere between 300 and 850.

a)

True

b)

False

47.

The Cashflow Quadrant is a way of understanding the different ways people generate income and build wealth.

a)

True

b)

False

48.

According to Kiyosaki, the most successful people are those in the E and S quadrants.

a)

True

b)

False

49.

According to Kiyosaki, the most successful people have more control over their income and can create passive income streams.

a)

True

b)

False

50.

E and S quadrants are seen as less desirable because they involve trading time for money and may have limited earning potential.

a)

True

b)

False