What is state income tax?

The tax paid to the state you live or work based on income

You saved $50 and choose to spend it redecorating your room. The opportunity cost of this is

The other items you could have purchased with your $50

Which of the following statements is TRUE?

The longer you use credit responsibly the higher your score.

Which of the following is NOT an income?

Your monthly student loan payment

Which of the following is the best reason to use cash for purchases?

Keeping track of how much you have spent is simple

Which factor has the biggest impact on a credit score?

Consistently making your payments on time

When buying a computer, what should you do to find the most accurate and unbiased information?

Read reviews on an independent technology website

Which of the following is NOT true of a budget?

Once a budget is set, it should not be revisited

What is the best strategy for avoiding credit card interest?

Pay the full balance each month

Which of the following situations best describes an opportunity cost?

You decide to go to a concert instead of a baseball game

Which of the following does NOT describe a source of income?

Cherri made a $75 payment towards her credit card balance

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EverFi FutureSmart Curriculum

25 termsStudBud Administration48 plays

A good summary for the first three Future Smart modules.

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Questions 25

Answers

1
_______ is withheld from a paycheck and is used to fund government services such as healthcare
State Income Tax
Social Security
Medicare
Federal Income Tax
2
Which of the following expenses should be included in a typical budget?
Savings
Charitable Giving
Taxes
All of the above
3
Ashley wants to make a purchase using the money in her checking account; which should she use?
direct deposit
credit card
prepaid card
debit card
4
What is state income tax?
The tax you pay when purchasing an item.
The tax paid to the state you live or work based on income
The tax that pays for healthcare for people ages 65+
The tax paid to the federal government based on your income
5
A ______ is usually paid on a biweekly or monthly basis for professional employment.
stipend
salary
benefit
Wage
6
You saved $50 and choose to spend it redecorating your room. The opportunity cost of this is
The other items you could have purchased with your $50
The time you could have spent doing other things
The $50 you spent on redecorating
The sleep you lost by choosing to redecorate
7
Which of the following statements is TRUE?
The longer you use credit responsibly the higher your score.
Low risk borrowers tend to have low credit scores.
Having lots of credit cards can help boost your score.
Paying off balances can hurt your credit score.
8
If you know the unit price of an item, you are better able to:
Estimate how much you will need
Determine the total cost of the purchase
Compare prices of two brands
Figure out the discount during a sale
9
Amy's new summer job at the pool will pay her $9/hr. Which term describes this type of income?
stipend
wage
salary
benefit
10
Which of the following is the best example of a fixed expense?
Your cost of going out to eat with friends
Your credit card payment
Your cost of groceries
Your rent payment
11
Which of the following is NOT an income?
Your monthly student loan payment
Your wages earned during a work shift
Your stipend received as part of an internship
Your annual salary
12
Your friend is worried about going over his budget. Which expense is NOT a need?
Car Insurance
Groceries
Cable Service
Rent Payment
13
Which of the following is the best reason to use cash for purchases?
Getting more from the ATM is easy to do
Splitting bills with friends is easier
Losing it won't be a big deal
Keeping track of how much you have spent is simple
14
Which factor has the biggest impact on a credit score?
How much you charge on your credit card
The credit card company you use
Consistently making your payments on time
The types of items you purchase with your credit card
15
Which factor has the biggest impact on a credit score?
Length of Credit
Payment History
Type of Credit
Amount Owed
16
When buying a computer, what should you do to find the most accurate and unbiased information?
Talk to a salesperson at your local electronics store
Read reviews on an independent technology website
Check the ads in a computer discount magazine
Browse the most popular computer company’s website
17
True or False: All states withhold state income taxes
True
False
18
Payday loans tend to have higher interest rates and fees, making them hard to pay back.
false
true
19
Which of the following is NOT true of a budget?
Budgets help you plan how to spend money you earn or receive
A budget can include charitable giving
Budgets include both income and expenses
Once a budget is set, it should not be revisited
20
What is the best strategy for avoiding credit card interest?
Pay the full balance each month
Pay the minimum balance
Make payments online
Skip payments
21
Which of the following situations best describes an opportunity cost?
You use birthday money to go to the movies with friends
You save money by purchasing an item that is on sale
You decide to pay your credit card bill online
You decide to go to a concert instead of a baseball game
22
Which of the following does NOT describe a source of income?
Gary’s aunt gave him $50 for his birthday
Travis’ tips at the end of his shift totaled $82
Cherri made a $75 payment towards her credit card balance
Louis received a stipend for completing a summer program
23
When deciding between two items, what should you take into consideration?
The quality of the product
All of the above
The unit price
Any available discounts or sales
24
Which of the following would be considered a want for most people?
Nutritious food
A brand-‐name jacket
A place to live
Transportation to get to work
25
Income earned on an hourly basis is called a:
Stipend
Wage
Benefit
Salary

EverFi FutureSmart Curriculum Flashcards | StudBud