,
,
, Chapter 1. Personal Finance Basics and the Time Value of Money
Student name:
TRUE/FALSE - Write 'T' if the statement is true and 'F' if the statement is false.
1) Long-term financial security can be achieved through frugal living and wise investing.
⊚ true
⊚ false
2) An opportunity fund is when money is set aside to expand ones income and net worth, or can
be used to invest in oneself through higher education.
⊚ true
⊚ false
3) The purpose of a tariff, also known as an import tax, is to decrease the trade deficit, which
always has the effect intended.
⊚ true
⊚ false
4) Increased demand for a product or service will usually result in lower prices for the item.
⊚ true
⊚ false
5) Inflation reduces the buying power of the dollar.
⊚ true
⊚ false
6) Lenders benefit more than borrowers in times of high inflation.
⊚ true
⊚ false
7) Economics is the study of using money to achieve financial goals.
⊚ true
⊚ false
8) Reduced consumer spending may be caused by unemployment due to a layoff.
⊚ true
⊚ false
9) A financial plan is another name for a budget.
⊚ true
⊚ false
,
, Chapter 1. Personal Finance Basics and the Time Value of Money
Student name:
TRUE/FALSE - Write 'T' if the statement is true and 'F' if the statement is false.
1) Long-term financial security can be achieved through frugal living and wise investing.
⊚ true
⊚ false
2) An opportunity fund is when money is set aside to expand ones income and net worth, or can
be used to invest in oneself through higher education.
⊚ true
⊚ false
3) The purpose of a tariff, also known as an import tax, is to decrease the trade deficit, which
always has the effect intended.
⊚ true
⊚ false
4) Increased demand for a product or service will usually result in lower prices for the item.
⊚ true
⊚ false
5) Inflation reduces the buying power of the dollar.
⊚ true
⊚ false
6) Lenders benefit more than borrowers in times of high inflation.
⊚ true
⊚ false
7) Economics is the study of using money to achieve financial goals.
⊚ true
⊚ false
8) Reduced consumer spending may be caused by unemployment due to a layoff.
⊚ true
⊚ false
9) A financial plan is another name for a budget.
⊚ true
⊚ false
