This quiz works best with JavaScript enabled. Home > Finance > Personal Finance > Personal Finance > Personal Finance – Quiz 85 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Personal Finance Quiz 85 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Why is is so important to keep a written monthly budget? A) So you tell your money where to go and not wonder where it went. B) So you don't end up with more month at the end of your money. C) So you gain control over your spending. D) All answers correct. Show Answer Correct Answer: D) All answers correct. 2. Larry works 13 hours this week after school washing cars. He earns $ 74 but gets $ 19 in taxes deducted from his paycheck. Therefore, he takes home $ 55. The $ 55 check is an example of his ..... income. A) Sales. B) Net. C) Gross. D) Tax. Show Answer Correct Answer: B) Net. 3. What is the action or process of investing money for profit? A) Insurance. B) Interest. C) Investment. D) None of above. Show Answer Correct Answer: C) Investment. 4. Why should a person pay the balance on his or her credit card every month? A) To earn more money. B) To save all his or her income. C) To spend all his or her income. D) To keep from paying interest. Show Answer Correct Answer: D) To keep from paying interest. 5. The amount borrowed is known as the ..... A) Credit. B) Principal. C) Interest. D) Capital. Show Answer Correct Answer: B) Principal. 6. Which retirement account is for school employees and some non-profit entities? A) Traditional IRA. B) 401k. C) Roth IRA. D) 403b. Show Answer Correct Answer: D) 403b. 7. Homeowners insurance provides what two basic types of coverage? A) Uninsured protection and umbrella insurance. B) Umbrella coverage and property protection. C) Property protection and liability protection. D) Liability protection and under-insured coverage. Show Answer Correct Answer: C) Property protection and liability protection. 8. The money borrowed (but has not been repaid) from when you have spent more than you have; the state of owing money A) Credit. B) Savings. C) Debt. D) Budget. Show Answer Correct Answer: C) Debt. 9. Which of these definitions best describes what a budget is? A) Money borrowed to buy a house. B) Regular payments for protection of a person or family against theft, harm, illness, etc . C) Money earned from a job. D) A plan for how money will be spent. Show Answer Correct Answer: D) A plan for how money will be spent. 10. How should you dress for a job interview? A) Jeans. B) Lots of make up. C) Sweat pants. D) None of these. Show Answer Correct Answer: D) None of these. 11. Why do people earn money? A) To meet basic needs. B) To go places. C) To work. D) To buy what they want. Show Answer Correct Answer: A) To meet basic needs. 12. Why are interest rates lower for people with collateral? A) These loans have less risk because the borrower has assets that can be taken in place of payment. B) These loans are to people who are less likely to be discriminated against. C) These loans are to people who do not actually need the money. D) These loans are to people who have shown that they are responsible. Show Answer Correct Answer: A) These loans have less risk because the borrower has assets that can be taken in place of payment. 13. Money or a service owed to another. A) Debt. B) Loan. C) Debit. D) None of above. Show Answer Correct Answer: A) Debt. 14. Self-employed person In which section can one become a member of social security? A) 33. B) 40. C) Choose any section. D) 39. Show Answer Correct Answer: B) 40. 15. Which terms does NOT refer to the money you earn? A) Salary. B) Expenditure. C) Income. D) Wage. Show Answer Correct Answer: B) Expenditure. 16. Moby spends his entire allowance every weekend, but cant remember what he buys. What would help Moby keep track of his income and expenses? A) Investments. B) Budget. C) Income. D) Savings account. Show Answer Correct Answer: B) Budget. 17. What type of taxes are paid to the federal government and due by April 15th every year? A) Property Tax. B) Income Tax. C) Sales Tax. D) Payroll Tax. Show Answer Correct Answer: B) Income Tax. 18. Who is hurt MOST by unanticipated inflation? A) Banks that have made short term adjustable rate mortgages. B) Retirees who are living on fixed incomes. C) Workers with cost of living adjustment contracts. D) People who have invested savings in variable rate returns. Show Answer Correct Answer: B) Retirees who are living on fixed incomes. 19. You have to take your pet to the vet for shots. The bill was $ 70. Is this an example of an income or expense? A) Income. B) Expense. Show Answer Correct Answer: B) Expense. 20. Which statement is correct about Robert Kiyosaki's 4 sides of money? A) The source of income from working to earn money is Income from being an employee and business owner. B) The source of income from working to earn money is Income from being an employee and personal business. C) The source of income from the use of earning assets is Money earned from being a self-employed person and business owner. D) The source of income from the use of earning assets is Income from private businesses and investors. Show Answer Correct Answer: B) The source of income from working to earn money is Income from being an employee and personal business. 21. Truth in Lending Act of 1968 informs people of ..... A) Security interest. B) APR. C) Amount financed. D) All of the above. Show Answer Correct Answer: D) All of the above. 22. A card that allows you to access the money in your accounts electronically. It works like a checking account. A) Debit cards. B) Smart cards. C) Gift or stored value cards. D) None of above. Show Answer Correct Answer: A) Debit cards. 23. A check similar to a cashier's check except that is generally issued by Pos Malaysia or some other non-banking institution. A) Money order. B) Cashier's check. C) Traveler's check. D) Certified Check. Show Answer Correct Answer: A) Money order. 24. Loan guaranteed only by a promise to repay it A) Unsecured loan. B) Collateral. C) Finance charge. D) Interest. Show Answer Correct Answer: A) Unsecured loan. 25. What happens when you write a check and you don't have enough money in the account to cover it. A) Annual Fee. B) Budget. C) Oops. D) Bad Check. Show Answer Correct Answer: D) Bad Check. 26. Which of the following is an example of a price incentive? A) A gallon of milk only cost $ 1.50 ten years ago, but today it costs $ 2.25. B) An employer gives an employee a raise to reward her for her hard work. C) A stockbroker buys a share of stock and sells it later in order to make a profit. D) A store usually sells candy bars for $ 1.00, but today is selling them for $ 0.75. Show Answer Correct Answer: D) A store usually sells candy bars for $ 1.00, but today is selling them for $ 0.75. 27. What is the role of banks in our community? A) Banks offer us fruits and vegetables. B) Banks are a safe place to keep money. C) Banks help us get our packages delivered on time. D) Banks have many books for us to borrow. Show Answer Correct Answer: B) Banks are a safe place to keep money. 28. Assets less liabilities = A) Mortgage debt. B) Net worth. C) Income. D) Disposable income. Show Answer Correct Answer: B) Net worth. 29. Which of the following may request your credit report? A) Insurance companies. B) Your employer. C) Your landlord. D) All of the above. Show Answer Correct Answer: D) All of the above. 30. One effect of an increase in the amount of savings in an economy is A) An increase in financial resources for business investment. B) An increase in consumer spending. C) A decrease in retirement investments. D) A decrease in the production of goods and services. Show Answer Correct Answer: A) An increase in financial resources for business investment. ← PreviousNext →Related QuizzesPersonal Finance QuizzesFinance QuizzesPersonal Finance Quiz 1Personal Finance Quiz 2Personal Finance Quiz 3Personal Finance Quiz 4Personal Finance Quiz 5Personal Finance Quiz 6Personal Finance Quiz 7Personal Finance Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books