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Building a relationship w/money

Total questions: 55

Worksheet time: 5hrs 18mins

Name
Class
Date
1.

Arjun, Nora, and Samuel are discussing their future plans. Arjun believes that the primary goal of personal financial planning is:

a)

To achieve financial stability and prepare for retirement

b)

To spend money without any constraints

c)

To win the lottery and become rich quickly

d)

To invest in the stock market exclusively

2.

Arjun, Avery, and Grace are planning their financial future. Which of the following should they consider as a component of their comprehensive financial plan?

a)

Investment planning

b)

Tax planning

c)

Retirement planning

d)

All of the above

3.

Charlotte, Aria, and Sophia are planning their monthly budget. What does this primarily help them do?

a)

Track their income and expenses

b)

Increase their credit card debt

c)

Gamble responsibly

d)

Ignore financial obligations

4.

Abigail, Samuel, and Mason are discussing their future plans. Abigail asks, 'Why is it important to set financial goals?'

a)

To ensure they spend all their money

b)

To have a clear direction for their financial future

c)

To impress others with their wealth

d)

To avoid paying taxes

5.

Jackson, Anika, and Scarlett are discussing their future financial plans. Jackson brings up the "time value of money" concept. How would you explain this concept to them?

a)

Telling them that time is more valuable than money

b)

Explaining that money loses value over time

c)

Clarifying that money available now is worth more than the same amount in the future due to its potential earning capacity

d)

Advising them that time should be spent, not money

6.

Grace, Luna, and Mason are discussing their financial plans. Luna suggests they should all have an emergency fund. Mason asks, 'What is the purpose of having an emergency fund?'

a)

To save for a vacation

b)

To purchase luxury items

c)

To have funds available for unexpected expenses

d)

To invest in high-risk stocks

7.

Mason, Abigail, and Aiden are discussing their finances. Mason says that "net worth" is the amount of money earned in a year. Abigail thinks it's the total value of one's liabilities. Aiden believes it's the difference between total assets and total liabilities. Who is correct?

a)

Mason: The amount of money earned in a year

b)

Abigail: The total value of one's liabilities

c)

Aiden: The difference between total assets and total liabilities

d)

None of them

8.

Evelyn, Abigail, and Jackson are discussing their financial habits. Evelyn believes in taking on as much debt as possible, Abigail prefers paying only the minimum amount due on her credit cards, while Jackson suggests using debt consolidation to manage multiple debts. According to good financial practices, who is managing their debt correctly?

a)

Evelyn who believes in taking on as much debt as possible

b)

Abigail who prefers paying only the minimum amount due on her credit cards

c)

Jackson who suggests using debt consolidation to manage multiple debts

d)

None of them

9.

Daniel, David, and Abigail are planning their monthly budget. Why is it important for them to understand their personal cash flow?

a)

To know how much money they can spend on entertainment

b)

To make informed decisions about saving and spending

c)

To be able to borrow more money

d)

To avoid having to work a job

10.

Liam, Kai, and David are planning their personal finances. They are considering whether to include insurance in their plan. What role does insurance play in their personal financial planning?

a)

It is an unnecessary expense

b)

It is only useful for the elderly

c)

It helps protect against potential financial losses

d)

It is a form of investment that guarantees high returns

11.

Anika, Emma, and Harper are planning to invest their savings. What is the significance of diversification in their investment planning?

a)

To put all their savings in one type of investment

b)

To spread their savings across various types of investments to reduce risk

c)

To invest only in high-risk stocks for high returns

d)

To avoid investing in the stock market

12.

Henry is considering hiring a financial advisor for his personal financial planning. What would be the role of this financial advisor?

a)

To spend Henry's money for him

b)

To provide Henry with guidance on financial decisions

c)

To take control of all of Henry's financial assets

d)

To discourage Henry from saving or investing

13.

Aiden, Mia, and Mason are planning their financial future. Why is it important for them to regularly review and update their financial plan?

a)

To ensure it aligns with their current financial situation and goals

b)

To change their financial goals frequently

c)

To make it more complicated

d)

To avoid saving money

14.
Doctor: Goods or Service?
a)
Goods
b)
Service
15.
iPhone: Goods or Service?
a)
Goods
b)
Service
16.

You buy a book from a bookstore. You buy a _____.

a)
Good
b)
Service
17.
Which is an example of a service?
a)
book
b)
police officer
c)
chair
d)
backpack
18.
Does this person provide a good or a service?
a)
good
b)
service
19.
Does this person provide a good or a service?
a)
good
b)
service
20.
Does this person provide a good or a service?
a)
good
b)
service
21.
True or False: A service is something that someone else does for you, or provides you.
a)
true
b)
false
22.
a)
good
b)
service
23.
a)
good
b)
service
24.

Which of the following is an example of a good?

a)

teacher

b)

doctor

c)

mechanic

d)

pencil

25.

TRUE OR FALSE: Goods are things you can buy or sell.

a)

TRUE

b)

FALSE

26.

What is COST?

a)

Nothing it is not important.

b)

The amount you pay for something.

c)

Shoes

d)

All of the money in the world.

27.

What is money?

a)

A service

b)

A good

c)

Something you buy.

d)

None of the above.

28.

Which one is NOT true?

a)

There is a cost for goods and services.

b)

The cost is the price we pay.

c)

Money is a service.

d)

We buy goods and services with money.

29.

What is a producer?

a)

Makes things.

b)

It jumps all day.

c)

buys all the things.

30.

What does DISTRIBUTION do?

a)

Makes things.

b)

Sells things.

c)

brings things to a place.

31.

What does a retailer do?

a)

It is a store that sells things.

b)

Has trains.

c)

Grows plants.

32.

What is a consumer?

a)

A person that drives cars all day.

b)

A person that buys things.

c)

A person that runs all day.

33.

TRUE OR FALSE: Pizza is a service.

a)

TRUE

b)

FALSE

34.
Which of the following is known as purchasing an item on a whim?
a)
Impulse
b)
Fixed
c)
Flexible
d)
Online purchase
35.
What is the first step of the decision making process?
a)
Evaluating the decision
b)
Identify the decision
c)
Identify resources
d)
Identify options
36.
Which of the following best describes a budget?
a)
A financial tool for consumers with little money
b)
A plan for saving and spending money
c)
A set of restrictions on how to spend money
d)
A statement of your assets and liabilities
37.
What is the purpose of a balance sheet?
a)
To determine your budget
b)
To determine your income
c)
To determine your credit card debt
d)
To determine your net worth
38.
Which of the following is known as something you own. 
a)
Liabilities
b)
Assets
c)
Net worth
d)
Gross income
39.
Which of the following is known as something you owe. 
a)
Assets
b)
Liabilities
c)
Identity theft
d)
Budgeting
40.
What is an example of assets?
a)
Paid off house
b)
house mortgage
c)
credit card debt
d)
student loans
41.
What is an example of liabilities?
a)
Credit card debt
b)
Paycheck
c)
Savings account
d)
Paid off house
42.
Which of the following is known as conducting business with financial institutions over the internet?
a)
online banking
b)
gross income
c)
net income
d)
financial planning
43.
Which of the following is known as paying bills electronically over the internet rather than sending a paper check through the mail?
a)
Online bill presentment
b)
Balance sheet
c)
Online bill payment
d)
Online banking
44.
Which of the following is known as when a company sends bills electronically over the Internet rather than sending a paper bill through the mail?
a)
Online banking
b)
Online bill payment
c)
Online bill presentment
d)
Financial planning
45.
Which of the following is known as the total amount of money you expect to earn before taxes and deductions?
a)
Net worth
b)
Discretionary income
c)
Gross income
d)
Balance sheet
46.
Which of the following is known as expenses that are not absolutely necessary?
a)
Gross 
b)
Net
c)
Discretionary
d)
Credentials
47.
Which of the following is an expense that stays the same every month?
a)
Rent
b)
Groceries
c)
Electric
d)
Credit card
48.
What are 2 things consumers spend most of their money on?
a)
Food and Clothes
b)
Housing and Transportation
c)
Insurance and Housing
d)
Transportation and Food
49.
Which document is used as proof of identity?
a)
Cancelled check
b)
Tax return
c)
Insurance policy
d)
Passport
50.
Why do you need to keep a record of donations to charity for?
a)
Legal proof
b)
Loan applications
c)
Tax purposes
d)
Medical reasons
51.
How long do you keep pay stubs?
a)
3 months
b)
Until 2 years past employment
c)
Until you verified your bank statement
d)
Until you verified your W-2
52.
How long do you keep cancelled checks? 
a)
3 years
b)
6 years
c)
Until you verified your bank statement
d)
1 year 
53.
Which of the following describe to put in long-term storage?
a)
discretionary
b)
variable expense
c)
archive
d)
safe deposit box
54.
Where is the safest place to store a birth certificate?
a)
filing cabinet
b)
desk drawer
c)
safe deposit box
d)
locked briefcase
55.
Which of the following is known as licenses, certifications or degrees that indicate qualifications?
a)
Accomplishments
b)
Credentials
c)
Business
d)
Profession