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WorksheetsBudgeting - Summer Unit Quiz
Total questions: 20
Worksheet time: 10mins
Name
Class
Date
1.
1. Which of these costs would be the MOST difficult to adjust if you were looking to reduce your expenses?
a)
Dining out at local restaurants
b)
Loan payment on a new car
c)
Expenses for new clothes
d)
Postponing a purchase for a big-screen TV
2.
2. You earn a salary of $40,000 per year and decide to save 20% of your gross pay. You set a goal of creating a $16,000 emergency fund. How long will it take for you to achieve your goal?
a)
6 months
b)
1 year
c)
2 years
d)
3 years
3.
3. If you are trying to substantially reduce the amount you spend on food, you should try...
a)
Cooking your own food at home for as many meals as possible
b)
Dining at restaurants more often so you don't waste water doing dishes
c)
Eating more snacks on the go and way fewer meals at home
d)
Drinking more coffee and soda so you are not as hungry for food
4.
4. Leila just graduated from college and is comparing a few different cities to move to. Which of these factors is the LEAST important thing for her to consider right now?
a)
Average rent for an apartment
b)
Food and grocery store options in the area
c)
Employment opportunities
d)
Average cost of Uber, Lyft, or taxi fare
5.
5. Greg is trying to decide whether he needs a car when he moves to the city. Which of the following would be a reason for Greg to get a car rather than use public transportation?
a)
There are several public transportation routes between Greg's apartment and work
b)
The cost of public transportation is less than Greg’s monthly car payment
c)
Greg’s company covers half the cost of his monthly public transportation pass
d)
Using public transportation, Greg’s commute to work one-way is two hours
6.
6. Which of these boxes of cereal has the LOWEST unit price?
a)
Cereal A, which costs $3.20 for a 16 oz. box
b)
Cereal B, which costs $5.00 for a 32 oz. box
c)
Cereal C, which costs $2.50 for a 10 oz. box
d)
Cereal D, which costs $4.50 for an 8 oz box
7.
7. All of the following are good budgeting strategies if you want to save money at the grocery store, EXCEPT…
a)
Focusing on unit price when comparing similar products
b)
Building a weekly meal plan around items you already own or items that are on sale that week, rather than just choosing foods you'd like to eat
c)
Focusing only on the price when comparing similar products
d)
Preparing a grocery list before you go to the store and avoiding buying items that aren’t on the list
8.
8. Which description is most accurate for a Zero-Based Budget?
a)
You put every dollar of your net pay into a budget category each month
b)
You spend your checking account balance down to $0 every month
c)
You spend your saving account balance down to $0 every month
d)
You pay every one of your debts down to $0 every month
9.
9. For two months in a row, Aaron realizes he has a budget deficit of roughly $175. Which of these options makes the most sense for him to fix his problem?
a)
Cancel one of his streaming video subscriptions and go out to dinner three fewer times each month with friends
b)
Start paying just the minimum monthly payment on his student loan and credit card debt, instead of the extra he's been contributing
c)
Contribute $100 less to savings each month and $75 less to his retirement fund
d)
Sell his current car and get a less expensive vehicle
10.
10. You're considering moving into a 3-bedroom apartment with 2 roommates, rather than living on your own post-college. Which of your expenses would likely decrease by having roommates?
a)
Groceries and eating out
b)
Rent
c)
Cell phone bill
d)
Bedroom furniture
11.
11. Danaisha does all her grocery shopping at organic markets and has a monthly grocery bill of $325. Charles says that Danaisha is wasting her money on wants instead of focusing on needs. He buys in bulk, uses coupons, and shops at Save-More for a monthly bill of $195. Who's budgeting correctly for food?
a)
Danaisha, because she is focusing on her health, which will have a guaranteed payoff in the long run
b)
Charles, because he's taking efforts to save money by focusing on his needs only
c)
Both, because needs vs wants are determined on an individual basis
d)
Neither, because they should meet in the middle somewhere. Charles should focus more on health, and Danaisha should cut her spending.
12.
12. What action corresponds to the advice "Pay yourself first?"
a)
Wait until the end of the month to determine how much you have leftover to save
b)
Set aside a fraction of your paycheck into a savings account before you start spending
c)
Spend your regular paycheck on needs and wants but funnel any extra money into saving
d)
Become self-employed so you're paying yourself instead of being paid by an employer
13.
13. One way the grocery store tricks you into spending more money than you budgeted for is...
a)
Being open early in the morning and late at night
b)
Paying their cashiers and baggers more
c)
Putting high priced items at eye level and lower cost items above or below eye level
d)
Accepting digital and print coupons
14.
14. Janine is considering what auto costs she is going to have after buying a new car. She has budgeted enough money for the monthly auto loan payment, gas, and auto insurance. Has Janine factored in all of the costs associated with car ownership?
a)
Yes, these are the three costs she should expect to pay once she is a car owner
b)
No, she does not need to include the cost of auto insurance as it is included in her auto loan payment.
c)
No, she needs to factor in other costs such as maintenance, emergency repairs, etc.
d)
No, she does not need to include the cost of gas as it is covered under her auto insurance policy
15.
15. Which statement accurately describes how the 50/20/30 Rule would break down your take-home pay?
a)
50% on wants, 20% on saving, and 30% on needs
b)
50% on saving, 20% on needs, and 30% on wants
c)
50% needs, 20% on saving, and 30% on wants
d)
50% on saving, 20% on wants, and 30% on needs
16.
How does the 50-20-30 rule distribute your income?
a)
50% expenses, 20% flexible spending, 30% saving
b)
50% expenses, 20% saving, 30% flexible spending
c)
50% flexible spending, 20% saving, 30% expenses
d)
50% saving, 20% flexible spending, 30% expenses
17.
About how much should you save in an emergency fund?
a)
1-3 months of living expenses
b)
3-6 months of living expenses
c)
6-9 months of living expenses
d)
9-12 months of living expenses
18.
When comparing and contrasting savings and investing, which of the following is true?
a)
Saving and investing both help a person stay at their current level of living.
b)
Savings provides the foundation for financial security, while investing is used to pay for long-term goals, such as retirement.
c)
Savings is less liquid than investing
d)
Savings is used to pay for long-term goals, while investing is used to pay for emergencies.
19.
Jenna wants to decrease the amount of $ she spends on food. Which of the following would help?
a)
Decide what she will make for dinner that same day
b)
Go to the grocery store with a list
c)
Go to the store whenever she needs 1-2 items
d)
Eat at fast food restaurants multiple times a week
20.
When faced with balancing your financial life, which is an effective first step?
a)
Take out additional loans at low interest rates.
b)
Notice what you spend your money on, list areas where you can save.
c)
Use credit cards to cover additional costs.
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