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Financial Literacy Flashcards | StudBud
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Financial Literacy
Financial Literacy
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Flashcards
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Questions
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Answers
1
Going to the movies or a concert is an example of a “need”
True
False
2
20% of your income should go toward:
Needs
Savings
The lottery
3
Using a debit card means you are borrowing money from the bank.
False
True
4
Which of these is an example of earning income?
Finding money on the ground
Winning a prize in a contest
Getting an allowance for chores
Receiving a birthday gift
5
Having a plan on how to spend your money is called:
Allowance
Investments
Impulse buying
Budgeting
6
How can you avoid paying interest on a credit card?
Making the minimum payment each month
Buying only the things you want
Paying off your credit card each month
Maxing out your card
7
An example of a budgeting method is:
Spending all of your cash
50/30/20 rule
Maxing out your credit card
8
Which is the best example of a fixed expense?
Going out to eat
Paying rent
Buying fancy clothing
Buying a new video game
9
Two types of bank accounts are: checking and savings
True
False
10
In the 50/30/20 budgeting method, 50% of your income should go toward:
Tacos
Savings
Wants
Needs
11
It is impossible to use your debit card if you ran out of money in your checking account.
False
True