Quiz ZZ

What is the most important principle about budgeting?

• Use the Moneysense budget calculator

• Use a spreadsheet and detail every expenditure

• Spend less than you earn

• Remember the wise words of a famous person

How much will $100K earning 8%p.a. grow to after 36 years?

• $400K

• $800K

• $1.6M

• $85B

Which of the following statements is NOT true?

• Your assets increase your net worth

• Your liabilities decrease your net worth

• Your net worth is the difference between your assets and liabilities

• Your self worth is the same as your net worth

How much interests does CPF pay?

• 2.5% p.a.

• 4% p.a.

• Between 2.5% p.a. and 4% p.a.

• Between 2.5% p.a. and 6% p.a.

Borrowings amplify risks and returns.

• True

• False

It is generally recommended that you have an emergency fund of between 3 and 6 months of spending.

• True

• False

Medishield Life is designed for hospitalisation stays in B2/C wards.

• True

• False

Term life insurance is bad because you don't get any money back if you terminate it.

• True

• False

Which statement about time is the most important in investments?

• Not in the markets

• Timing the markets

• Time in the markets

• Time has nothing to do with investments

What is generally considered a safe withdrawal rate?

• 3%

• 4%

• 5%

• There is no safe withdrawal rate