WorksheetsJA Financial Literacy: Theme One
Total questions: 30
Worksheet time: 16mins
What is the main reason why people make voluntary exchanges of goods and services in a free market or capitalist system?
Amit loves baking cookies and his friends tell him they're delicious. He decides to see if people would be willing to buy them. Which of the following is the MOST capitalist behavior for Amit in this situation?
Sonya makes screen-printed shirts and her neighbor, Tony, is skilled at training dogs. Sonya recently got a dog that needs to be trained and Tony’s school club needs new shirts. Instead of paying a professional dog trainer, Sonya asks Tony to train her dog. In return, she agrees to print shirts for Tony’s school club. This is an example of:
Which of these is a form of earning?
Which would be considered an unanticipated life expense?
Which might be found at the U.S. Department of Labor website?
The following are examples of the benefits of getting a certificate or degree through trade school EXCEPT:
Nova wants to work in graphic design but isn't sure how much education she needs. She loves to be creative and can learn software programs quickly. Which post-high school option would be BEST for Nova, if she wants to earn the most amount of money throughout her career?
Which of the following is NOT information needed to complete the Free Applicate for Federal Student Aid (FAFSA) form?
What is the difference between gross pay and net pay?
Jason’s gross pay this month is $960. His federal income tax amount is $114; state income tax, $42; Medicare deduction, $15; and FICA contribution, $60. What is Jason’s net monthly pay?
Which of the following benefits has the potential to earn you the most money?
If too little is withheld on your IRS W-4 Form, you will:
Exchanging products or services with others by agreeing on their values is known as
trading
marketing
bartering
money
What is Gross Pay?
A) Pay you receive after taxes and other deductions are taken out.
B) Total pay before taxes and other deductions are taken out.
C) A flat tax on your paycheck including Social Security & Medicare.
D) A progressive tax on income charged by the federal government and most states.
What is a career?
A short-term job for making quick money
A long-term professional journey based on your interests and skills
A hobby that makes money
A task you do once in a while for extra cash
How can investing in education impact your income?
It has no impact on income
It can potentially increase your qualifications and lead to higher-paying jobs
It decreases your income because you have to pay for education
It only helps if you study finance
Why is it important to track your expenses?
To make sure you don't spend more than you have
It's not important
So you can brag to friends
To make your parents happy
What is a budget?
A list of your friends
A plan for how to spend money
A type of savings account
A game about money
How is income tax calculated?
By multiplying your total income by a fixed percentage.
By subtracting deductions from your gross pay.
By applying a tax rate based on your income bracket to your taxable income.
By adding a standard tax rate to all of your purchases throughout the year.
What can you do to avoid debt?
Spend more money than you earn
Use all your savings to buy expensive things
Only use money that you have, instead of borrowing
Borrow money from many different people
What is the primary purpose of a savings account?
To earn a high interest rate
To keep money safe and earn a small amount of interest
To avoid paying taxes
To invest in the stock market
Which of the following is a benefit of creating a personal budget?
It guarantees financial success
It helps you manage your money and save for future goals
It allows you to spend without limits
It eliminates the need for financial planning
What is the primary benefit of having an emergency fund?
To avoid paying taxes
To pay for luxury vacations
To cover unexpected expenses without going into debt
To invest in high-risk stocks
Which of the following is a key characteristic of a free market economy?
Government sets all prices
Prices are determined by supply and demand
All businesses are owned by the state
There is no competition among businesses
What is the primary purpose of a checking account?
To earn high interest rates
To invest in the stock market
To provide easy access to your money for daily transactions
To avoid paying taxes
What is the main advantage of using a budget?
It allows you to spend without any restrictions
It helps you manage your finances and plan for future expenses
It guarantees you will never face financial difficulties
It eliminates the need to track your expenses
Which of the following is a common method to save for retirement?
Keeping money under your mattress
Spending all your income
Investing in a 401(k) plan
Buying luxury items
What is a key feature of a savings account?
It requires a large initial deposit
It earns interest over time on the deposited amount
It provides easy access to funds for daily transactions
It offers high-risk investment opportunities
What is the main advantage of using a debit card over a credit card?
It allows you to borrow money without interest
It provides better rewards and cashback offers
It directly deducts money from your bank account, helping to avoid debt
It offers higher credit limits
