Finite Math: Personal Finance

You'll have less freedom with your money if you . . .

• Invest in the stock market.

• Are paying for things in your past.

• Put money in a bank account.

• Make less than $35,000.

The first step you should take when you want to make a large purchase is . . .

• Ask your parents to loan you the money with low interest

• Get a new credit card

• Decide how much you'll need to save and the time frame you want to save it in

• Sell something and use the proceeds

The best way to build wealth is to start investing early. You should start investing money . . .

• As soon as you have extra cash

• Once you have a fully funded emergency fund

• Once you're out of college, living debt-free, and have 3–6 months of living expenses saved

• When the stock market is performing really well

If you really want to save money, you've got to . . .

• Fly economy class

• Live on less than you make

• Invest in a Roth IRA

• Have a financial advisor

Which two habits are the most important for building wealth and becoming a millionaire?

• Working a high-paying job and relying on a trust fund

• Investing into the right stocks and using a private CPA

• Consistently investing money and patience to give it time to grow

• Always paying off your credit card on time and putting extra money into a retirement account

Once you're out of school, have started your career, and have zero debt, your emergency fund should have _________.

• 3–6 months of income

• 3–6 months of living expenses

• $3,000

• $5,000

A pair of shoes with an original price of $120 is on sale at 15% off. What is the amount of the discount? Use no symbols ($ - , - .) Round to the whole dollar.

A pair of shoes with an original price of $120 is on sale at 15% off. What is the sales price? Use no symbols ($ - , - .) Round to the whole dollar.

You purchased shares of stock for $2000 and sold them for $3500. Find the percent increase, or your return, on this investment.

You borrow $2400 for three months at 12% simple interest. Find the amount of interest paid. Do not include a dollar sign or comma.