CBA 3 - Review PRM

Front

Henrietta's summer salary is $4,000. After deductions, her take-home pay is $3,500. What are her gross and net pay?

Back

Her gross pay is $4,000 and net pay is $3,500.

Front

Alexandra has $3500 per month to spend. He estimates his monthly costs to be: rent of $1,000, car expenses of $750, utilities of $300, insurance of $350, food for $600, and other expenses of $200. What is the end result?

Back

A budget surplus of $3,200

Front

Which cost is the MOST difficult to adjust when reducing expenses? Options: Eating at McDonald's, The monthly payment on your car, Buying new clothes, Wait to purchase a new video game.

Back

The monthly payment on your car

Front

You earn a salary of $50,000 per year and decide to save 10% of your gross pay. You set a goal of creating a $15,000 emergency fund. How long will it take for you to achieve your goal?

Back

3 years

Front

How can you cut costs and reduce spending on food?

Back

Cook food and eat at home as much as possible

Front

What is NOT a good reason to create and stick to a budget? Options: Having a budget can help you realize where your money goes each month, Having a budget can help you save for something you want to purchase, A budget can assist you in creating an emergency fund, Keeping a budget is a requirement for purchasing a new car

Back

Keeping a budget is a requirement for purchasing a new car

Front

Withholding (in reference to your paycheck)

Back

The amount of money that is being taken out of your paycheck for things like taxes, health insurance, and retirement.

Front

What is the minimum income requirement for the IRS and pay taxes?

Back

You are required to pay taxes when you earn more than the minimum income requirement.

Front

Which form determines the amount of money that is withheld from your paycheck for taxes?

Back

W-4

Front

What indicates a budget deficit?

Back

Your checking account is constantly overdrawn and you are paying a $35 fee for each check overdraft.