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Unit 3 Day 1

Total questions: 15

Worksheet time: 8mins

Name
Class
Date
1.

What is a financial decision?

a)

Any choice involving money or resources

b)

Any choice involving only food

c)

Any choice involving only travel

d)

Any choice involving only sports

2.

If someone buys a $5 coffee every weekday, how much could they spend in a year?

a)

$6,250

b)

$500

c)

$1,000

d)

$2,500

3.

Which of the following is NOT an example of a financial decision mentioned in the material?

a)

Choosing whether to save money or spend it

b)

Saving money for a house, car, or college

c)

Deciding what to eat for lunch

d)

Buying clothes, shoes, or groceries

4.

Why is it important to know how much money you spend each month when planning your finances?

a)

It helps you identify areas where you can save or reduce expenses

b)

It allows you to ignore your debts

c)

It makes you spend more money

d)

It is not important for financial planning

5.

Which of the following best describes a short-term goal?

a)

A goal that takes less than 1 year to achieve

b)

A goal that takes 2 years to achieve

c)

A goal that takes 3 years or more to achieve

d)

A goal that cannot be measured

6.

How long does it typically take to achieve a long-term goal?

a)

Less than 1 year

b)

2 years

c)

3 years or more

d)

6 months

7.

Why is it important to set financial goals as part of financial planning?

a)

To have something to achieve in the future

b)

To spend money faster

c)

To avoid making a budget

d)

To increase daily expenses

8.

What is one way to decrease spending according to the financial planning strategies?

a)

Get a job

b)

Eat out less

c)

Buy more subscriptions

d)

Spend weekly

9.

Which of the following is NOT listed as a strategy to reach a financial goal?

a)

Cancel subscriptions

b)

Save weekly

c)

Get a job

d)

Buy luxury items

10.

Why might someone choose to cancel subscriptions as part of their financial planning?

a)

To increase their income

b)

To decrease their spending

c)

To spend more on entertainment

d)

To ignore their financial goals

11.

Why should financial plans be reviewed?

a)

Because life changes, goals change, and income changes

b)

Because the weather changes

c)

Because technology improves

d)

Because holidays are coming

12.

If your income increases significantly, what should you do with your financial plan?

a)

Review and revise it

b)

Ignore it

c)

Throw it away

d)

Keep it the same forever

13.

What is a financial risk?

a)

The possibility that something will negatively affect or harm your finances.

b)

The chance of winning a lottery.

c)

The opportunity to earn more money.

d)

The certainty of financial gain.

14.

Which of the following is an example of personal risk?

a)

Prices rising over time

b)

Unexpected events such as illness, accidents, or emergencies

c)

Rates rising or falling

d)

Income increasing

15.

A person is worried that interest rates might change and affect their loan payments. Which type of financial risk does this represent?

a)

Inflation risk

b)

Income risk

c)

Interest rate risk

d)

Personal risk