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Financial Literacy Flashcards | StudBud
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Financial Literacy
Financial Literacy
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1
The more __________ you receive the more money you will likely earn in your career.
benefits
education and training
scholarships
2
You get $50 as a b-day gift and choose to spend it on redecorating your room instead of other items. What's the OC?
the other items you could have purchased with your $50
The price of the new comforter you bought
3
Which of the following is considered a want rather than a need for most people?
netflix
a place to live
warm coat in the winter
nutritious food
4
Which of the following is considered a want for most people?
cost of transportation to work
a brand name jacket
a place to live
5
what you give up as a result of choosing one option versus another; a tradeoff
opportunity cost
premium
profit
revenue
6
What is the best strategy for avoiding credit card interest?
pay the full balance every month
make payments online
skip payments
7
Jonathon wants to gain on-the-job experience while attending college. He should consider applying for a:
pay day loan
work-study program
credit card
mortgage
8
____________ is withheld from your paycheck and used to fund government services such as health care & national defense
Medicare
social security
Federal income tax
9
Ashley wants to use money from her checking account to make a purchase. Which payment method should she use?
certificate of deposit
debit card
credit card
direct deposit
10
If a person has liability insurance, what would they be covered for? (if accident was their fault)
cost of damage on other cars
cost of damage to their own car
11
If you know the unit price of an item, you are better able to:
estimate your entire grocery bill
figure out how much you will need
compare prices of 2 brands
know if it's on sale
12
A _________ is a small piece of ownership in a company.
savings account
bond
stock
revenue
13
What is required when opening a checking account?
a master's degree
initial deposit
a credit score
credit card
14
5. When deciding between two items, what should you take into consideration?
all of the above
quality of product
any available discounts
unit price
15
What might be one reason why stock becomes more valuable over time?
the company is well-managed
There is a lot of demand for the product
the industry is growing
all of the above
16
7. Your friend is worried about going over his budget this month. Which expense would you suggest is NOT a need?
car payment
rent payment
netflix
groceries
17
Which of the following is NOT a benefit of putting money in a savings account?
you can make frequent withdrawals
the money is safe and secure
you can earn gobs of interest
18
Shannon is in the newspaper club and attends writing workshops in her free time, which career would interest her most?
stockbroker
Chef
web content developer
Electrical Engineer
19
Which account will help you save money and earn the most interest?
checking account
savings account
direct deposit
certificate of deposit
20
Even if it costs $150 per month, having health insurance can save you money over time.
True
False
21
Someone is retiring next year. What would be an appropriate amount of risk to take with their investments?
lower risk, lower growth
highest risk, highest growth
22
Which of the following is a variable expense?
rent
a night out with friends
car insurance
cost of transportation to work