PERSONAL FINANCE PRACTICE
EXERCISE AND ANSWERS.
Financial literacy is the knowledge about _____. - Answers-Money
Select the items from the following list that are included in financial literacy. - Answers-
applying for a credit card
using a credit card to make a purchase
paying taxes
opening a checking account
Thomas was thinking about the car he wants to buy in a few years. He does'nt know
what he should do now so that he can buy the car. What should Thomas do? -
Answers-He should become more knowledgeable about smart ways to save and about
car loans.
Alicia has been keeping money in her room that she has earned from babysitting. What
should Alicia do with this money? - Answers-She should become more knowledgeable
about her options for savings accounts.
Carl started earning a paycheck and wants to invest some of what he earned. In this
situation, why is it important for Carl to be financially literate? - Answers-To know the
ups and downs of the things he would like to ivest in.
List some reasons for becoming financially literate. - Answers-Becoming financially
literate can save you money and time. This can also help you make right decisions in
like making smart purchases.
Read and reflect on the following quote.
"No matter who you are, making informed decisions about what to do with your money
will help build a more stable financial future for you and your family."
- Alan Greenspan
In the text box below, list some financial information you would like to learn about and
why it is important for building your financial future. - Answers-How saving money, and
opening a checking account is important. It is important to build your financial future
because it gives you a good plan on what is going to happen in your future.
A(n) ____ is a misunderstanding; a mistaken thought or idea. - Answers-misconception
If you haven't already, take a look at your score on the self-assessment you took earlier
in this lesson. Study the feedback for each item. In the text box below, enter a brief
statement about any misconceptions you've had about what it means to be financially
, literate. Also, enter a brief statement about financial habits or attitudes that you
discovered about yourself-both good and bad. - Answers-I had a misconceptions of
when they said that he wuld like to invest of some of his money.
Sam will finish high school this year. He does not think he needs any further education.
This is a misconception. - Answers-True
Erin is in high school. She decides that she will set aside money to put in her savings
account each week from the money she makes babysitting. This is a bad habit. -
Answers-False
Select the items from this list that are examples of good financial habits. - Answers-
creating a budget no matter what your age
asking advice from employees at a bank or financial advisers
keeping good records
saving as soon as you have a full-time job
Read the following two descriptions. Decide who has better financial habits and
attitudes.
Lindsay doesn't feel that she will ever get her credit card paid off. After seeing her new
bill, she tosses it aside so she doesn't have to think about it.
Hillary receives a few bills in the mail. She takes out a piece of paper and starts figuring
out a plan to pay these bills. - Answers-Hillary receives a few bills in the mail. She takes
out a piece of paper and starts figuring out a plan to pay these bills.
When you are accountable, reliable and dependable you are acting responsibly.
True
False - Answers-True
To become financially responsible, you need to accept that you are accountable for your
financial future.
True
False - Answers-True
Which of the following is an example of financial irresponsibility?
organizing financial documents
paying car payments on time
spending your entire paycheck
finding a new job before quitting your current job - Answers-spending your entire
paycheck
Which of the following is an example of financial responsibility?
EXERCISE AND ANSWERS.
Financial literacy is the knowledge about _____. - Answers-Money
Select the items from the following list that are included in financial literacy. - Answers-
applying for a credit card
using a credit card to make a purchase
paying taxes
opening a checking account
Thomas was thinking about the car he wants to buy in a few years. He does'nt know
what he should do now so that he can buy the car. What should Thomas do? -
Answers-He should become more knowledgeable about smart ways to save and about
car loans.
Alicia has been keeping money in her room that she has earned from babysitting. What
should Alicia do with this money? - Answers-She should become more knowledgeable
about her options for savings accounts.
Carl started earning a paycheck and wants to invest some of what he earned. In this
situation, why is it important for Carl to be financially literate? - Answers-To know the
ups and downs of the things he would like to ivest in.
List some reasons for becoming financially literate. - Answers-Becoming financially
literate can save you money and time. This can also help you make right decisions in
like making smart purchases.
Read and reflect on the following quote.
"No matter who you are, making informed decisions about what to do with your money
will help build a more stable financial future for you and your family."
- Alan Greenspan
In the text box below, list some financial information you would like to learn about and
why it is important for building your financial future. - Answers-How saving money, and
opening a checking account is important. It is important to build your financial future
because it gives you a good plan on what is going to happen in your future.
A(n) ____ is a misunderstanding; a mistaken thought or idea. - Answers-misconception
If you haven't already, take a look at your score on the self-assessment you took earlier
in this lesson. Study the feedback for each item. In the text box below, enter a brief
statement about any misconceptions you've had about what it means to be financially
, literate. Also, enter a brief statement about financial habits or attitudes that you
discovered about yourself-both good and bad. - Answers-I had a misconceptions of
when they said that he wuld like to invest of some of his money.
Sam will finish high school this year. He does not think he needs any further education.
This is a misconception. - Answers-True
Erin is in high school. She decides that she will set aside money to put in her savings
account each week from the money she makes babysitting. This is a bad habit. -
Answers-False
Select the items from this list that are examples of good financial habits. - Answers-
creating a budget no matter what your age
asking advice from employees at a bank or financial advisers
keeping good records
saving as soon as you have a full-time job
Read the following two descriptions. Decide who has better financial habits and
attitudes.
Lindsay doesn't feel that she will ever get her credit card paid off. After seeing her new
bill, she tosses it aside so she doesn't have to think about it.
Hillary receives a few bills in the mail. She takes out a piece of paper and starts figuring
out a plan to pay these bills. - Answers-Hillary receives a few bills in the mail. She takes
out a piece of paper and starts figuring out a plan to pay these bills.
When you are accountable, reliable and dependable you are acting responsibly.
True
False - Answers-True
To become financially responsible, you need to accept that you are accountable for your
financial future.
True
False - Answers-True
Which of the following is an example of financial irresponsibility?
organizing financial documents
paying car payments on time
spending your entire paycheck
finding a new job before quitting your current job - Answers-spending your entire
paycheck
Which of the following is an example of financial responsibility?
