Dave Ramsey Chapter 1 Questions and Answers Already Graded A

Dave Ramsey Chapter 1 Questions and Answers Already Graded A The first thing you should save for is your retirement fund - t/f False. Emergencies. Using pre-authorized checking helps save money - t/f True. Your first Baby Step to pay off all your debt - t/f False. The first Baby Step is saving $1,000 for an emergency fund A money market mutual fund is the best place for your fully funded emergency fund. - t/f True. A sinking fund makes money grow over time by adding interest to previous interest earned. - t/f False. Daves 80/20 rule says personal finance is 80% knowledge and 20% behavior. - t/f False. The rate of return matters when it comes to compound interest. - t/f True Using a race analogy to describe building wealth, saving is most like a sprint. - t/f False. Saving is like a marathon. You should invest 10% of your household income into ROTH IRA and pre-taxed retirement plans. -t/f False. 15% Murphy's law is more likely to strike if you are prepared for the unexpected events that occur throughout life. t/f False. The type of account that holds your fully funded emergency fund Money Market The amount you put into an emergency fund for baby step 1 $500-$1,000 The saving rate most americans have negative A proven plan to financial success that involves 7 chronicle actions Baby Steps The third reason to save money involves investing money long term which is called: Wealth building The number of months a full funded emergency fund contains 3-6 months The priority in which you pay yourself First A fund that stores saved money so that