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Dave Ramsey Intro to Personal Finance Flashcards | StudBud
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Dave Ramsey Intro to Personal Finance
Dave Ramsey Intro to Personal Finance
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A #dave #ramsey #quiz on #chapterone, #introduction to #personal #finance.
Flashcards
25 cards
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Practice quiz
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Host live
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Questions
25
Answers
1
Expensive houses and new cars are a true indication of wealth.
False
True
2
When it comes to managing money, success is about ____% knowledge and ____% behavior.
50, 50
20, 80
40, 60
80, 20
3
Which of the following best explains why students should learn about personal finance?
Learning now can prevent financial mistakes in the future.
It will help you achieve a profitable career.
Finance skills are better learned through trial & error.
Finance skills are complex & require a lot of time to learn.
4
An obligation of repayment owed by one party to a second party is
ownership
debt
5
Personal financial success is primarily the result of:
Generous welfare and unemployment programs
Inheriting money from your parents
Managing your money behavior
Winning the lottery
6
Key components of financial planning include all of the following EXCEPT:
Write out a detailed plan for accomplishing your goals
Allow a financial planner to make all your money decisions
Replace money myths with money truths
Regularly monitor and reassess your financial plan
7
A debt evidenced by a "note", which specifies the principle amount, interest rate and date of repayment.
bank fee
loan
8
When it comes to personal finance, the math is easy. Whatʹs challenging is managing your
Income
Friends
Behavior
Bank Account
9
All of the decisions and activities of an individual or family regarding their money is called:
Personal Finance
Currency
10
This is the granting of a loan and the creation of debt, or, any form of deferred payment
Annual Fee
Credit
11
A person or organization that uses a product or service
consumer
borrower
12
Which of the following is a consequence of spending more than you make?
Missed opportunity to save and invest
All the above
A cycle of debt
Stress
13
Why does income (money you make) by itself not determine wealth?
Investing is the only factor that adds to wealth building.
Making money doesn't mean good spending/saving behavior.
Income alone does determine a personʹs wealth.
Only people who are natural savers can become wealthy.
14
Everyone should have the same financial plan. One person's should be sufficient for everyone.
True
False
15
Having debt keeps you from building wealth.
False
True
16
A system by which goods and services are produced and distributed is an asset
False
True
17
A fee paid by a borrower to the lender for the use of borrowed money.
Interest
Bills
18
Most Americans avoid the use of credit when it comes to buying expensive things.
False
True
19
The knowledge and skillset necessary to be an informed consumer and manage finances effectively
Budgeting
Financial Literacy
20
Learning the language of money is not important because you will depend on financial planners.
True
False
21
Most Americans today are wealthy and will have financial security when they retire.
True
False
22
During the Great Depression, New Deal policymakers came up with home loans that convinced commercial banks that:
Consumer credit could be profitable
None of these
Consumer credit was not a profitable industry
23
Since you are a teenager, what you do now with money won't matter to your financial future.
False
True
24
Which of the following is NOT a benefit of understanding your own money personality?
None of the above.
Knowing your personality allows you to spend money however.
Recognizing who you are allows to grow and learn.
Knowing your personality can help develop a financial plan.
25
Why was the use of credit uncommon prior to 1917?
Laws prevented lenders from charging high interest rates.
All the Above
Borrowing money was generally not socially acceptable.
Lending money to others was not profitable.
