Unit 2 Review Controlling Expenses

Front

What is a check?

Back

A check is a written order directing a bank to pay a specific amount of money from a person's account to another person or entity.

Front

What are the required components of a check?

Back

A check must include the date, signature, payee, amount, and sometimes a memo.

Front

What is the purpose of a memo on a check?

Back

The memo is optional and is used to note the purpose of the payment.

Front

How do you calculate total expenses?

Back

Total expenses are calculated by adding all individual expenses together.

Front

What is the formula to calculate sales tax?

Back

Sales Tax = Purchase Amount x Sales Tax Rate.

Front

If you buy an item for $10 with a 4% sales tax, what is the total cost?

Back

Total Cost = $10 + ($10 x 0.04) = $10.40.

Front

What is a monthly budget?

Back

A monthly budget is a plan that outlines expected income and expenses for a month.

Front

How do you estimate monthly expenses?

Back

Estimate monthly expenses by summing up all weekly and monthly costs.

Front

What is the unit of measurement for electricity consumption?

Back

Electricity consumption is measured in kilowatt-hours (kWh).

Front

How do you calculate the cost of electricity used?

Back

Cost = (kWh used x Rate per kWh) + Customer Charge.