Chapter 3 Review

Non-essential expenses

Which of the following is something that a typical millionaire would do?

The number-one cause of divorce in North America today is stress and disagreements overmoney.

To match your bank statement with your checkbook

Occurs when money is withdrawn from a bank account and the available balance goes below zero

If you write a zero-based budget every month, it is not necessary to reconcile your account

Which of the following is a consequence of overdrawing your checking account?

Percentage of Americans living paycheck to paycheck:

Car repairs are a

ʺPay yourself firstʺ means you should put a portion of your income to saving and investing

Which of the following account records would have the most current balance?

A written cash flow plan

Your monthly budget should include:

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Writing and following a 0-based budget will help you avoid overspending and impulse purchases.

What is Dave Ramsey's daughter's name

Eating out is a:

The envelope system is great for spending on things that donʹt normally have a fixed expense.

Having more than one bank account is never a good idea since it can complicate moneymanagement.

Series of envelopes that are divided into categories of cash for planned monthly expenses

An item that is bought without previous planning or consideration of the long-term effects

Rent is a:

Which of the following is not a record-keeping feature you could expect from your bank?

A written budget, if followed, removes ________ from your finances.

Which of the following statements is false?

The zero-based budget is the best method of budgeting because:

Expenses that remain the same from month to month

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Groceries are a:

Budgeting is crucial to your financial success.

Doing a budget does not:

A debit card cannot be used for online purchases.