Unit 1 Review: Money and Spending

Front

What are currency exchange rates based on?

Back

Each country's economy.

Front

A discount _____ the total cost.

Back

Decreases.

Front

A tax placed on an item _____ the total cost.

Back

Increases.

Front

You are purchasing 3 shirts at $21.00 (each) and 1 pair of jeans at $48.00. You have a coupon for 15% off. How much is the total cost with the discount?

Back

$94.35.

Front

The price of an item at Big Lots department store is $240.00. You have a coupon for 20% off any purchase over $200.00. How much will you save by using the coupon?

Back

$48.00.

Front

What is the formula to calculate the total cost after applying a discount?

Back

Total Cost = Original Price - (Original Price x Discount Rate).

Front

Define 'currency exchange rate'.

Back

The value of one currency for the purpose of conversion to another.

Front

What is the impact of inflation on purchasing power?

Back

Inflation decreases purchasing power.

Front

Explain the concept of 'opportunity cost'.

Back

The loss of potential gain from other alternatives when one alternative is chosen.

Front

What does it mean to budget?

Back

To create a plan for how to spend your money.