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Test 1 ~ Budgeting

Total questions: 15

Worksheet time: 11mins

Name
Class
Date
1.

(a)   is the amount you earn before taxes and other payroll deductions.

Choose from the below words
budget
gross income
net income
irregular income
2.

The cost of rent or a car payment are examples of (a)   .

Choose from the below words
budget
discretionary expense
fixed expense
variable expense
3.

Car insurance can be an (a)   ; it can be due at various times of the year.

Choose from the below words
net income
discretionary expense
variable expense
intermittent expense
4.

A(n) (a)   varies in dollar amount from month to month, but it is expected every month. (1 Point)

Choose from the below words

variable expense

discretionary expense

intermittent expense

commission

5.

A(n) (a)   is an expense you don't really need.

Choose from the below words
variable expense
discretionary expense
intermittent expense
fixed expense
6.

A(n) (a)   should account for fixed, variable, intermittent, and discretionary expenses based on income. (1 Point)

Choose from the below words

Cash-flow statement

net income

gross income

variable expense

7.

Which of the following is NOT a component of a budget?

a)

credit score

b)

income

c)

saving

d)

giving

8.

How often should you create a budget?

a)

Daily

b)

Weekly

c)

Monthly

d)

Biannually

9.

Going to the movies is an example of what types of expenses?

a)

Intermittent and variable

b)

Categories in their budget

c)

Discretionary and variable

d)

Intermittent and fixed

10.

What kind of money counts as income?

a)

Only the money you make at your job

b)

All money that you receive, including money from your job and gifts

c)

Money in your savings account

d)

Only money deposited into your bank account

11.

What should you do if you overspend in one category of your budget?

a)

Adjust your budget by removing money from other spending categories

b)

Take money from the Giving category. You're giving to yourself.

c)

Just leave it. It will probably work out fine.

d)

Ask a friend for the money you overspent.

12.

Commission is when you make money based on percentage of __________.

a)

Budgets

b)

Investments

c)

Items sold

d)

Total sales

13.

Why is budgeting so important?

a)

It's a good way to make sure all your money is spent by the end of the month

b)

It helps you figure out the best way to justify purchases that maybe aren't necessary

c)

It gives you control of your money and sets you up for financial success in the future

d)

It helps you brush up on your math skills

14.

The primary reason people don't budget is because they lack the knowledge how to budget.

a)

True

b)

False

15.

Gas for your car would be an example of a variable expense.

a)

True

b)

False