Financial Literacy Foundations and Basics

Question 1

Grants, loans, and scholarships are all free money to help pay for college that you do not have to pay back

Accepted Answer

false

Question 2

Which of these earns more money over time?

Accepted Answer

Compound interest

Question 3

What is the definition of net worth?

Accepted Answer

assets minus liabilities

Question 4

Which payment method creates a debt that you have to pay back later?

Accepted Answer

Credit Card

Question 5

When you put money in a bank, it is guaranteed and insured up to $250,000.

Accepted Answer

true

Question 6

In the 50/30/20 method of budgeting, what percent of your money should be spent on needs?

Accepted Answer

50%

Question 7

Which of these is a variable expense?

Accepted Answer

Electricity Bill

Question 8

Which of these best describes a budget?

Accepted Answer

An estimate of income and expenses over a set period of time

Question 9

Job offers usually include information about your salary AND benefits like what healthcare options the company provides

Accepted Answer

True

Questions 9