A cash card generally:

Can be bought w/ specific $ amt & used to pay for purchases

Financial planning is important because it helps you to:

reach financial goals and protect your assets

the basic principles that guide our actions and beliefs

The cost to use someone else’s money for a period of time is called the:

Interest rate expressed as a percentage

Money in the United States includes:

Checking account balances on which checks can be drawn

Need to be realistic, have a target date, and expected cost

Discretionary income is:

Difference between total income & essential living expenses

Which statement is FALSE about most ATM (Automated Teller Machine) cards?

You can always get cash anywhere in the world with no fee

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Money Management & Personal Finance 1

25 termsStudBud Administration432 plays

A quiz game to help students prepare for the Money, Money Management and Personal Finance Component of the WISE Financial Literacy Exam

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Questions 25

Answers

1
Who benefits most from inflation?
The government
Persons on fixed incomes
Lenders
Long-term fixed rate borrowers
2
Money received today is worth more than the same amount of money received in the future is:
Not true
Investing
The time value of money
The Rule of 72
3
A cash card generally:
Can be used the same way as a check to pay bills by mail
Can be bought w/ specific $ amt & used to pay for purchases
Same as a debit card & always linked to a checking acct
Is same as a credit card & can be used to pay min. on bill
4
Financial planning is important because it helps you to:
achieve all personal goals
reach financial goals and protect your assets
have higher expectations
eliminate risk on investments
5
Which of the following will help you least in managing your money?
plan ahead for large expenses & avoid impulse buying
pay your rent/mortgage payment and utility bills on time
get advice from your friends
set goals and keep a budget for your net income
6
Another term for the dollar amount of your paycheck after taxes and other withholdings is:
Discretionary income
Net income
Gross income
Adjusted gross income
7
Federal law requiring the cost of credit disclosed to consumers in bold print on loan agreement
Fair Debt Collection Practices Act
Fair Credit Reporting Act
Truth in Lending Act
Equal Credit Opportunity Act
8
If you have $1,000 in a savings account & earn $20 a year interest; rate of return is close to:
5%
10%
2%
20%
9
Our values are:
the basic principles that guide our actions and beliefs
the expectations of other people
What we want to achieve
the same as our goals
10
New coins & currency get into the general economy through the distribution system of:
Treasurer of the United States
Secretary of the Department of the Treasury
U.S. Federal Mint
Federal Reserve System
11
The cost to use someone else’s money for a period of time is called the:
Opportunity cost
Minimum payment
Interest rate expressed as a percentage
Inflation rate
12
Money in the United States includes:
Diamonds
Checking account balances on which checks can be drawn
Gold
Barter
13
A debit card is lost and not reported missing for 3 mos. Max liability for unauthorized use is:
Unlimited liability
$500
$50
No liability because it was reported.
14
You want to gain control over your income & spending to save money. Which step will help most?
developing a retirement plan
getting advice from a friend
applying for a loan
developing a budget
15
Financial institution that usually pays the highest interest rate on savings account balances
Credit unions
Savings and loan associations
Investment firm money market accounts
Commercial banks
16
Identify the background color of a U.S. $5.00 bill.
Yellow
Blue
Orange
Green
17
Which of the following does the Federal Reserve use to regulate the nation’s money supply?
Regulations
Proposing legislation
Fiscal policy
Monetary policy
18
Goals:
Need to reflect current income
Are generally the same for middle class families
Need to be realistic, have a target date, and expected cost
Remain the same year after year, throughout life
19
The following is usually considered a variable expense:
mortgage payment
car payment
rent payment
electric bill payment
20
Which documents should be stored in a safe-deposit box?
Mortgage loan papers
Copies of current and past budgets
Checkbook statements
Current paycheck stubs
21
Money set aside to grow is typically called:
net income
savings or investments
a budget
discretionary income
22
When choosing between two job offers with a similar salary offer, you should first consider:
Travel time to work location & the size of the organization
Tuition reimbursement and bonus potential
Reputation of the organization
Retirement and health plans.
23
Discretionary income is:
Difference between total income & essential living expenses
Wages plus investment income
Income that has been spent
A capital gain
24
Which statement is FALSE about most ATM (Automated Teller Machine) cards?
Must have account w/ a financial institution to have a card
Can generally obtain account balance info at an ATM machine
You can always get cash anywhere in the world with no fee
You can generally get cash 24 hours a day, seven days a week
25
A type of electronic funds transfer (EFT) is:
Not widely used by consumers
A transaction made with a check
An ATM transaction
A deposit made with a bank teller

Money Management & Personal Finance 1 Flashcards | StudBud