Personal Financial Stewardship Quiz 1
false
a budget is a record of how a person or family has spent their money
physical budget
a budget that involves envelops, folders or containers to hold money or slips of paper is called a
track spending and identify variances
after the budget is created, it is important to
mortgage
an example of a fixed expense is
electric bill
an example of a variable expense is
$63
annual earning on a $2,000 Certificate of Deposit earning 3.15% would be
true
financial advisers suggest that an emergency fund should cover three to six months of living expenses
$10,900
if a $10,000 investment earns a 9% annual return, what should its value be after one year
true
inflation reduces the buying power of money
liquid assets= $11,000 real estate= $139,000 personal property= $8,000 investments= $75,000 current liabilities= $1,500 long-term liabilities= $98,000
net worth= $233,000 - 99,500 = $133,500
true
opportunity costs refer to time, money, and other resources that are given up when a decision is made
$323,00
patrick guitman has a net worth of $156,000 and liabilities of $167,000. what are his total assets
b. net worth
the amount you would have if everything of value would be sold and all debts would be paid in full
c. the change in prices of products and services of urban consumers
the consumer price index reflects
seven years
the number of personal financial records a household has to organize may seem overwhelming. How long should you keep copies of your tax return?
b. inflation
the rising of prices that causes changes in buying power is referred to as _________ risk
e. risk.
the uncertainty associated w/ decision making is referred to as
true
when prices are increasing at a rate of 6 percent, the cost of products would double in about 12 years
c. borrowers
who is most likely to benefit from inflation?
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CHAPTER 2
c.more
because of interest that can be earned, if i can invest a dollar today, it should be worth ________ in the future
