WorksheetsUnit 5 Test - Saving
Total questions: 16
Worksheet time: 8mins
First Name
Why should people save money for an "emergency fund"? Which is an example of an unexpected expense for it?
A new cell phone if yours is stolen
Valentine's Day gifts
What does it mean to "pay yourself first"?
Spend on yourself first, then family, then others
Set aside some savings before any spending
TJ is in 7th grade and wants to set one short-term and one long-term savings goal. Which option best matches these goals?
Short-term = a pack of gum // long-term = 3 packs of gum
Short-term = expensive new sneakers // long-term = a car
TJ earns $20 per lawn and spends money on snacks, games, and video games, ending each month with little savings. What change can help TJ save more?
Spend money on a better lawn mower so he can cut more grass
Before he spends, set aside $5 to save out of every $20 payment
Ro wants to attend a school trip to Washington DC that costs $500. How much does she need to save per month over 20 months to afford it?
$10,000 per month
$25 per month
Diamond earns $200 per month babysitting. She wants to buy her dad a special Father's Day gift in 10 months. What's the best saving strategy?
Figure out the cost, divide by 10, and save that amount monthly
Save all $200 each month without spending
Which statement best describes what it means if your bank is "FDIC insured?"
If your bank goes out of business, you get your money back up to a certain limit
If you lose your wallet, your bank will replace the cash up to a certain amount
What is one BENEFIT of using a savings account instead of a checking account?
Savings accounts charge lower ATM fees
Savings accounts earn interest, growing your money
What is one downside of using a savings account instead of a checking account?
Savings accounts limit 6 withdrawals per month, checking accounts do not
Fewer banks offer savings accounts, more offer checking accounts
As a teenager opening a savings account, which two features are MOST important?
No monthly fees and no minimum balance
No interest rate and no monthly fees
When opening your first savings account, you need all EXCEPT...
Proof of mailing address
A letter from employer
How many times was money withdrawn from this account during this period?
1
2
13) How much was Roger charged in fees during this statement period?
$0
1.25%
Cylina's savings account earns 2% per year. She has $1000 and plans to leave it for 4 years. What equation determines the simple interest earned?
Interest = $1000 x 2%
Interest = $1000 x 2% x 4
What is the financial benefit of compound interest?
You earn interest on both the principal and any interest already earned
You earn interest ONLY on the principal
