Financial Literacy Final Exam
questions and answers rated
False - ANS ✔✔Financial literacy means knowing how to make financial decisions.
True - ANS ✔✔A misconception is a mistaken idea or thought.
True - ANS ✔✔An individual's irresponsibility may affect the community.
True - ANS ✔✔A financially-responsible person reacts quickly to problems.
False - ANS ✔✔Written goals should be simple and short.
save you money - ANS ✔✔Becoming financially literate is important because it can _____.
Amy wants to invest money for two years. She doesn't know which investment is best for her.
What should Amy do? - ANS ✔✔She should become more knowledgeable by talking with a
financial adviser, reading books, or by taking a class.
When prioritizing goals, how should you order them? - ANS ✔✔by order of importance
Read the following descriptions. Decide who demonstrates a bad habit. - ANS ✔✔Allison throws
away most of her receipts and she does not have a place to organize financial documents.
A financially-responsible person _____. - ANS ✔✔-has a budget
-spends less than they make
, -saves their money
-pays bills on time
An example of financial irresponsibility is _____. - ANS ✔✔making an impulse purchase
Decide whether the following sources are reliable or unreliable. - ANS ✔✔information from
your credit union about car loans: reliable
www.fueleconomy.gov: reliable
a Web site selling financial services: unreliable
a book written in 1978 about tax laws: unreliable
television show that features financial experts: reliable
person on the IRS-sponsored tax hotline: reliable
Emily, a college student, reads an article in Money magazine. The author has a degree in
finance. The article is about getting a home equity loan. This information is _____. - ANS
✔✔reliable but irrelevant
John wants to know how much he should pay for a particular used car. What should John do? -
ANS ✔✔He should find reliable and relevant information; perhaps look up information in the
Kelly Blue Book
a process for making financial decisions is called - ANS ✔✔PACED
Lisa has the following assets and liabilities. What is her net worth?
Assets Liabilities
car - $3,500 car loan - $3,000
savings account $1,000 credit card - $500
questions and answers rated
False - ANS ✔✔Financial literacy means knowing how to make financial decisions.
True - ANS ✔✔A misconception is a mistaken idea or thought.
True - ANS ✔✔An individual's irresponsibility may affect the community.
True - ANS ✔✔A financially-responsible person reacts quickly to problems.
False - ANS ✔✔Written goals should be simple and short.
save you money - ANS ✔✔Becoming financially literate is important because it can _____.
Amy wants to invest money for two years. She doesn't know which investment is best for her.
What should Amy do? - ANS ✔✔She should become more knowledgeable by talking with a
financial adviser, reading books, or by taking a class.
When prioritizing goals, how should you order them? - ANS ✔✔by order of importance
Read the following descriptions. Decide who demonstrates a bad habit. - ANS ✔✔Allison throws
away most of her receipts and she does not have a place to organize financial documents.
A financially-responsible person _____. - ANS ✔✔-has a budget
-spends less than they make
, -saves their money
-pays bills on time
An example of financial irresponsibility is _____. - ANS ✔✔making an impulse purchase
Decide whether the following sources are reliable or unreliable. - ANS ✔✔information from
your credit union about car loans: reliable
www.fueleconomy.gov: reliable
a Web site selling financial services: unreliable
a book written in 1978 about tax laws: unreliable
television show that features financial experts: reliable
person on the IRS-sponsored tax hotline: reliable
Emily, a college student, reads an article in Money magazine. The author has a degree in
finance. The article is about getting a home equity loan. This information is _____. - ANS
✔✔reliable but irrelevant
John wants to know how much he should pay for a particular used car. What should John do? -
ANS ✔✔He should find reliable and relevant information; perhaps look up information in the
Kelly Blue Book
a process for making financial decisions is called - ANS ✔✔PACED
Lisa has the following assets and liabilities. What is her net worth?
Assets Liabilities
car - $3,500 car loan - $3,000
savings account $1,000 credit card - $500
