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Financial Decision-Making Practice Questions

Total questions: 12

Worksheet time: 6mins

Name
Class
Date
1.

If you have limited means, you ____.

a)

have too much money

b)

spend too much money

c)

save enough money

d)

can’t have everything

2.

When you must give something up in order to get something else, it is called ____.

a)

a sound investment

b)

an opportunity cost

c)

a lost opportunity

d)

a limited means

3.

Why do you need to use decision-making skills if you have limited means?

a)

Since you are not able to have everything, you must decide what you really need.

b)

Making decisions is possible when you can have everything.

c)

You have a limited number of decisions.

d)

You have too much money which makes decision making hard.

4.

An opportunity cost can make decision making difficult because ____.

a)

you must choose to give up some things in order to get other things

b)

the costs might be extremely high

c)

it’s hard to make decisions about opportunities

d)

you may only get that opportunity once

5.

Before you buy something you want, you should buy ____.

a)

something that is cheap

b)

something you need

c)

something expensive

d)

something on sale

6.

Food, water, shelter and clothing are examples of ____.

a)

limited means

b)

wants

c)

needs

d)

opportunities

7.

If you have limited means you may need to prioritize. This could mean crossing video games off your shopping list and replacing them with ____.

a)

groceries

b)

movie tickets

c)

designer jeans

d)

new sneakers

8.

Setting a goal lets you ____.

a)

achieve nothing

b)

forget next steps

c)

achieve what you want to do

d)

spend more money

9.

When you have a goal, you can ____.

a)

plan out steps to achieve it

b)

avoid bad decisions

c)

buy more of what you want

d)

buy more of what you need

10.

Which of these will not help you achieve a goal?

a)

Setting the goal

b)

Hoping you meet it

c)

Planning out steps to meet it

d)

Prioritizing decision

11.

If you are trying to save money, you should consider ____.

a)

cutting unnecessary expenses

b)

increasing your spending

c)

buying more luxury items

d)

going out to eat more often

12.

To effectively manage your budget, you need to ____.

a)

track your income and expenses

b)

ignore your spending habits

c)

spend without limits