Financial Literacy Quiz

Question 1

The main reasons you should save your hard-earned money are so you can . . .

Accepted Answer

Cover emergencies, pay cash for large purchases, and build wealth

Question 2

Americans spend over $2,100 a year on .

Accepted Answer

Impulse purchases

Question 3

Using online tax software or hiring a tax professional are both good options depending on your situation.

Accepted Answer

True

Question 4

A leasing contract . . .

Accepted Answer

A legal document allowing the tenant to use the property for a time period

Question 5

Your monthly rent payment is an example of a variable expense.

Accepted Answer

False

Question 6

You can fund your education by finding the right mix of , , and .

Accepted Answer

Grants; scholarships; work

Question 7

Creating a budget, having clear money goals, and slowing down to think through a purchase are all practices of a .

Accepted Answer

Wise consumer

Question 8

When you invest in a mutual fund, you are contributing to a pool of money that will be . . .

Accepted Answer

Invested in a mix of stocks, bonds, and money market accounts

Question 9

Why is budgeting so important?

Accepted Answer

It gives you control of your money and sets you up for financial success.

Question 10

Avoiding debt can give you financial peace and a sense of hope for the future.

Accepted Answer

True

Question 11

Insurance helps you transfer the from your bank account to the insurance company.

Accepted Answer

Risk

Question 12

Getting good grades, driving safely, and driving an older car are examples of ways you can . . .

Accepted Answer

Lower your auto insurance costs

Question 13

Student loans are a type of “good” debt.

Accepted Answer

True

Question 14

When choosing your bank, you should first identify what type of bank you want, the features that matter most, and _____.

Accepted Answer

What kind of accounts you want

Question 15

What does cost of living refer to?

Accepted Answer

The avg cost for goods and services needed to maintain a standard of living

Question 16

What is The Second Foundation?

Accepted Answer

Get out and stay out of debt.

Question 17

You need to track everything that involves money, including . . .

Accepted Answer

Debit card purchases, third-party app transactions, and ATM withdrawals

Question 18

The first priority in your budget should be .

Accepted Answer

Saving

Question 19

Many employers will research job candidates’ social media posts.

Accepted Answer

True

Question 20

The very best investment you can make is in .

Accepted Answer

Yourself

Question 21

Economics is a study of consumer .

Accepted Answer

Choices

Question 22

Many service industries, like massage, financial services, auto repair, electrical, & plumbing, don’t need 4-yr degrees

Accepted Answer

True

Question 23

Inflation, deflation, rate of economic growth, price levels, national income, employment rates, & GDP are all called:

Accepted Answer

Economic indicators

Question 24

Every American who earns an income must file a each year.

Accepted Answer

Federal tax return

Question 25

Why is tracking your expenses throughout the month important?

Accepted Answer

It gives you insight into whether you’re sticking to the budget you set.

Question 26

When you buy with credit, you typically spend more than you would with cash or a debit card.

Accepted Answer

True

Question 27

Job shadowing is a great way to gain experience in a career field.

Accepted Answer

True

Question 28

Which two habits are the most important for building wealth and becoming a millionaire?

Accepted Answer

Consistently investing money and giving it time to grow

Question 29

is key when it comes to compound growth.

Accepted Answer

Time

Question 30

What is The First Foundation?

Accepted Answer

Build wealth and give.

Question 31

When you finance a new car, you will end up paying more than the sticker price.

Accepted Answer

True

Question 32

Why do some accounts, like saving accounts at your local bank, earn interest?

Accepted Answer

Because the bank pays you for the use of your money.

Question 33

To gain an understanding of your personal finances, you should know . . .

Accepted Answer

Current financial standing, your income, your goals, and how to reach goals

Financial Literacy Quiz

Questions 33

Financial Literacy Quiz

Questions 33