FutureSmart Financial Literacy Exam Review
Guide_ Summer 2022/23 # 50 Questions and
Answers
What are some examples of things would be considered a want rather than a
need for most people? - -A smartphone
-Describe what an opportunity cost is - -The trade-off of making one choice and
giving up a different choice
-You are going to buy a computer, but first you want to do some research to help
you select the best model for your needs. Where should you look for the fairest
and most reliable information? - -An independent consumer education website
that reviews and rates computers
-You are creating a budget for your new business. What should you include? - -
All income and expenses
-What type of expense is the monthly cost of eating out at restaurants
considered is for many adults? - -a variable expense
-Your friend's parents are worried about going over their budget for the month.
Would cable service be considered a want or a need? - -Want
-If you know the unit prices of two different brands of an item, you are better
able to do what? - -Compare the prices of the two brands
-You received $50 as a birthday gift and chose to spend it on new wallpaper for
your room. The opportunity cost of this decision is - -The other items you could
have purchased with your $50
-What is the should a budget do and include? - -To help you plan how to spend
money you earn or receive, can include charitable giving, include both income
and expenses
, -List at least 3 successful budgeting strategies - -Keep some extra money in your
budget for emergencies, Think about which items are your most important needs,
Revisit your budget regularly and make adjustments
-What is a ________________ is usually paid on a biweekly or monthly basis for
professional employment? - -Salary
-What is the best reason to use cash for purchases? - -Keeping track of how
much you have spent is simple
-What factor has the biggest impact on a credit score? - -Your history of making
payments on time
-What is the best strategy to avoid paying interest on your credit cards? - -Pay
the full balance each month
-What is our annual salary for doing your job, the stipend you receive for doing
an internship, and the wages you receive after a work shift considered? - -Income
-How does your credit score become higher? - -The longer you use credit
responsibly, the higher your credit score.
-Why are pay day loans harder to pay back? - -because of high fees and high
interest rates
-Amy's new summer job at the pool will pay her $9 per hour. Which term
describes this type of hourly income? - -Wage
-Ashley wants to make a purchase using the money in her checking account.
What method of payment should she use to access these funds immediately and
directly? - -Debit card
-What is the problem with paying only your minimum credit card balance each
month? - -You have to pay interest
-What should you do first when planning your career? - -Make a list of your job
preferences and skills
Guide_ Summer 2022/23 # 50 Questions and
Answers
What are some examples of things would be considered a want rather than a
need for most people? - -A smartphone
-Describe what an opportunity cost is - -The trade-off of making one choice and
giving up a different choice
-You are going to buy a computer, but first you want to do some research to help
you select the best model for your needs. Where should you look for the fairest
and most reliable information? - -An independent consumer education website
that reviews and rates computers
-You are creating a budget for your new business. What should you include? - -
All income and expenses
-What type of expense is the monthly cost of eating out at restaurants
considered is for many adults? - -a variable expense
-Your friend's parents are worried about going over their budget for the month.
Would cable service be considered a want or a need? - -Want
-If you know the unit prices of two different brands of an item, you are better
able to do what? - -Compare the prices of the two brands
-You received $50 as a birthday gift and chose to spend it on new wallpaper for
your room. The opportunity cost of this decision is - -The other items you could
have purchased with your $50
-What is the should a budget do and include? - -To help you plan how to spend
money you earn or receive, can include charitable giving, include both income
and expenses
, -List at least 3 successful budgeting strategies - -Keep some extra money in your
budget for emergencies, Think about which items are your most important needs,
Revisit your budget regularly and make adjustments
-What is a ________________ is usually paid on a biweekly or monthly basis for
professional employment? - -Salary
-What is the best reason to use cash for purchases? - -Keeping track of how
much you have spent is simple
-What factor has the biggest impact on a credit score? - -Your history of making
payments on time
-What is the best strategy to avoid paying interest on your credit cards? - -Pay
the full balance each month
-What is our annual salary for doing your job, the stipend you receive for doing
an internship, and the wages you receive after a work shift considered? - -Income
-How does your credit score become higher? - -The longer you use credit
responsibly, the higher your credit score.
-Why are pay day loans harder to pay back? - -because of high fees and high
interest rates
-Amy's new summer job at the pool will pay her $9 per hour. Which term
describes this type of hourly income? - -Wage
-Ashley wants to make a purchase using the money in her checking account.
What method of payment should she use to access these funds immediately and
directly? - -Debit card
-What is the problem with paying only your minimum credit card balance each
month? - -You have to pay interest
-What should you do first when planning your career? - -Make a list of your job
preferences and skills
