Worksheets2025 Personal Finance Final Review Cover
Total questions: 46
Worksheet time: 23mins
Banking: List three goals that represent short-term, medium-term, and long-term savings.
Short-term: concert tickets next month; medium-term: buying a used car in two years; long-term: retirement after decades
Short-term: retirement in 30 years; medium-term: lunch today; long-term: paying a utility bill
Short-term: mortgage payoff in 25 years; medium-term: buying coffee tomorrow; long-term: weekend trip
Short-term: moving across the country this week; medium-term: buying snacks; long-term: finishing homework
Banking: What is one effective strategy for personal saving?
Use automatic transfers from checking to savings each payday
Withdraw cash weekly to spend freely
Pay only the minimum on every bill
Keep savings in your wallet for easy access
Banking: Fill in the blanks: According to the 50-30-20 rule of budgeting, 50% of income goes to ________, 30% to ________, and 20% to ________.
needs; wants; savings and debt repayment
wants; savings; needs
savings; wants; needs
debt; savings; entertainment
Banking: What is a savings account?
A bank account that earns interest and is designed for storing money over time
A credit card that allows borrowing up to a limit
An account used only for paying bills and writing checks
A retirement investment account with market risk
Banking: Where does the money come from when you use a debit card at a store?
Directly from your checking account
From a loan you repay later
From a savings account only
From the store’s financing program
Banking: Describe one transaction that reduces your checking account balance immediately.
Using a debit card for a purchase
Depositing a paycheck
Transferring money into checking
Receiving interest
Banking: List one benefit of using a checking account and one limitation.
Benefit: easy access with debit card; Limitation: possible fees and overdrafts
Benefit: highest returns; Limitation: guaranteed profits
Benefit: anonymous transactions; Limitation: unlimited withdrawals without records
Benefit: price protection; Limitation: required long-term lockups
Budgeting: Which type of expense is usually the most difficult to reduce? Why?
Fixed expenses, because they are contractual and change infrequently
Variable expenses, because they fluctuate daily
Discretionary expenses, because they are optional
Hidden fees, because they are unknown
Budgeting: What is one effective way to reduce your food expenses?
Plan meals and cook at home using a shopping list
Eat out more often to use rewards points
Buy single-serve items only
Avoid comparing prices
Budgeting: 3 factors should someone consider when choosing a city to live in after graduation?
Cost of living, job opportunities, and quality of life
Number of tourist attractions, celebrity sightings, and nightlife only
Weather alone
Availability of luxury shopping
Budgeting: Name 3 strategies for saving money at the grocery store.
Use a list, compare unit prices, and buy store brands
Shop hungry, avoid sales, and buy prepared meals
Ignore coupons, choose premium brands, and purchase individually packaged items
Visit multiple stores without a plan
Budgeting: Fill in the blanks: The 50/20/30 Rule divides your take-home pay into ________ % for needs, ________ % for savings, and ________ % for wants.
50; 20; 30
30; 20; 50
20; 50; 30
40; 30; 30
Behavioral Science & Money: How do social media influencers affect consumers’ financial habits?
They can drive impulse purchases through persuasive content and social proof
They always provide unbiased financial education
They prevent overspending by discouraging products
They have no impact on consumer behavior
Behavioral Science & Money: What type of identity theft is most common for people under 19?
Synthetic identity theft using stolen Social Security numbers
Medical identity theft
Biometric identity cloning
Driver’s license duplication
What is an influencer? How do they affect people’s spending habits?
A person with a large online audience who can shape purchasing decisions through recommendations
A bank employee who approves loans
A government official who sets prices
A financial planner who manages portfolios only
List two ways to use social media more mindfully when it comes to spending.
Unfollow shopping-heavy accounts and set a cooling-off period before purchases
Increase screen time and buy immediately from ads
Share payment details publicly to get deals
Only follow brand accounts to receive constant promotions
Consumer Skills: What is one benefit of comparison shopping?
Finding better prices or value by evaluating multiple sellers
Spending more time to buy impulsively
Guaranteeing brand loyalty regardless of cost
Avoiding product information
Consumer Skills: What is a smart consumer habit to follow when making purchases?
Check reviews and return policies before buying
Buy based solely on packaging
Ignore warranties and receipts
Always choose the highest price
Consumer Skills: Why is it important to read a store's return policy before buying something?
It clarifies time limits, conditions, and costs for returns or exchanges
It guarantees free gifts
It eliminates sales tax
It ensures lifetime repairs
Consumer Skills: What is one action that shows you are being a thoughtful consumer?
Comparing needs versus wants before purchasing
Buying immediately when a sale appears
Ignoring budget limits
Relying only on influencer recommendations
Teens & Taxes: When are you required to start paying income taxes?
When your earnings meet the IRS filing threshold for your status
At age 18 regardless of income
Only after graduating college
Only when paid by check rather than cash
Teens & Taxes: What factors determine whether or not you need to file a federal tax return?
Income amount, filing status, and dependency status
Your credit score alone
Your age alone
Whether you have a bank account
Teens & Taxes: Define the term "dependent" for tax purposes.
A qualifying person supported by a taxpayer who meets IRS tests
Anyone under age 18 automatically
Any roommate
Only a spouse
Teens & Taxes: Describe a situation in which someone would not need to file a tax return.
Their income is below the filing threshold and they have no special requirements
They worked part-time at all
They received any paycheck
They are a student
Financing Higher Education: List the types of financial aid in order from most to least attractive.
Grants/scholarships, work-study, federal loans, private loans
Private loans, grants, work-study, federal loans
Work-study, private loans, grants, federal loans
Federal loans, grants, private loans, work-study
Financing Higher Education: In what order should you use different types of money to pay for college (free money, your money, borrowed money)?
Free money first, then your savings, then borrowed funds if needed
Borrowed money first, then free money, then your money
Your money first, then borrowed money, then free money
All borrowed money only
Financing Higher Education: How can transferring credits from a community college save you money?
Lower-cost credits replace higher-priced university courses
It increases tuition at the university
It requires paying duplicate fees
It only delays graduation without savings
Credit & Debt: What is the main difference between how debit cards and credit cards work?
Debit cards pull money from your bank account; credit cards allow borrowing to be repaid later
Debit cards build credit history; credit cards do not
Debit cards always charge interest; credit cards never do
Debit cards are accepted online only; credit cards are in-store only
Credit & Debt: Why is it a good idea to pay more than the minimum amount due on a loan?
It reduces principal faster and lowers total interest paid
It increases fees
It hurts your credit score
It delays payoff
Credit & Debt: List one effective strategy for paying off debt quickly.
Use the debt snowball or avalanche method with extra payments
Open new credit accounts to increase limits
Ignore interest rates and pay randomly
Make only minimum payments
How does your credit score affect your ability to get a loan?
Higher scores improve approval odds and may qualify you for lower interest rates
Higher scores guarantee free loans
Lower scores always lead to better terms
Credit scores have no effect
Name one action that could negatively affect your credit score.
Missing payments
Paying on time
Keeping utilization low
Monitoring your credit
What can happen if you don’t pay back your federal student loans?
You may face default, damaged credit, wage garnishment, and collection actions
Nothing happens
You automatically receive forgiveness
You get lower interest rates
Insurance: What is an insurance premium?
The amount you pay regularly for coverage
The fee charged only after a claim
The payout you receive from the insurer
The deductible on a policy
Insurance: How do insurance companies make money?
By collecting premiums and investing them while managing claim costs
By paying more claims than premiums received
By charging only deductibles
By selling policies at a loss
Insurance: What usually happens to your auto insurance premium if you get into several accidents in one year?
It increases due to higher risk
It decreases as a reward
It stays the same by law
It is eliminated
Insurance: Frank’s car repairs cost $6,200 and his deductible is 1,000. How much will he pay out-of-pocket?
$1,000
$5,200
$6,200
$0
Insurance: How do insurance companies decide how much to charge you for your monthly premium?
They assess risk factors such as driving record, age, location, and coverage choices
They set the same price for everyone
They base it only on car color
They randomize amounts each month
Insurance: List one thing a standard renters insurance policy usually does NOT cover.
Flood damage
Theft of personal property
Fire damage
Liability for injuries to guests
Employment: What can someone with no work experience add to their resume to make it stronger?
Volunteer work, school projects, and relevant skills
Only personal hobbies without detail
Unverified awards
Blank sections
Employment: Why is it often financially smart to go to college?
Higher education can increase earning potential over a lifetime
It guarantees no expenses
It eliminates the need for budgeting
It always leads to instant wealth
Employment: What is the main purpose of a resume?
To summarize qualifications and experience for employers
To file taxes
To apply for a loan
To track personal spending
Buying a Car: If you have $10,000 saved for a car, what is a good strategy for staying within your budget?
Include taxes, fees, insurance, and registration in the total cost before choosing a vehicle
Spend the full $10,000 only on the sticker price
Ignore maintenance costs
Finance the entire purchase regardless of savings
Buying a Car: What does "Certified Pre-Owned" mean?
A manufacturer-backed used vehicle inspected to meet specific standards, often with warranty
Any car sold by a private owner
A brand-new vehicle
A repossessed vehicle without inspection
Buying a Car: How can you check a used car’s history before buying it?
Review a vehicle history report using the VIN from services like Carfax or AutoCheck
Ask the seller verbally without documents
Assume the mileage is accurate
Ignore maintenance records
Buying a Car: Name two ongoing costs of owning a car.
Insurance premiums and routine maintenance
Purchase price and down payment only
Window tint and bumper stickers
Test drive fee
