Financial Algebra Pre-Test

What is a budget?

• A) A plan for spending and saving money

• B) A list of all your expenses

• C) A type of bank account

• D) A loan from the bank

Tags

CCSS.7.RP.A.2

Which of the following is the best way to start saving money?

• A) Spend first, save what’s left

• B) Save a set amount from each paycheck before spending

• C) Borrow money to put in savings

• D) Only save when you have extra money

What is an emergency fund?

• A) Money set aside for day-to-day expenses

• B) Money saved for large purchases like a car or house

• C) Money set aside for unexpected expenses

• D) Money saved for retirement

If your income is less than your expenses, what should you do?

• A) Spend more on wants

• B) Increase your savings

• C) Cut back on non-essential expenses

• D) Take out a loan

Tags

CCSS.HSA.SSE.A.1

Which of the following is a fixed expense?

• A) Groceries

• B) Entertainment

• C) Rent

• D) Utilities

Tags

CCSS.HSF-LE.A.1B

What is the purpose of a checking account?

• A) To save money over time

• B) To invest in stocks

• C) To manage daily transactions

• D) To earn high interest

What does ATM stand for?

• A) Automated Transaction Machine

• B) Automatic Teller Machine

• C) Automated Transfer Machine

• D) Automatic Transaction Mechanism

Tags

CCSS.RI.11-12.3

CCSS.RI.11-12.5

CCSS.RI.8.3

CCSS.RI.9-10.3

CCSS.RI.9-10.5

Which type of bank account typically offers the highest interest rate with the best flexibility?

• A) Checking account

• B) Savings account

• C) Certificate of Deposit (CD)

• D) High Yield Savings Account (HYSA)

What is overdraft protection?

• A) A service that prevents your account from going below a zero balance

• B) A service that charges you a fee for using your debit card

• C) Insurance for your savings account

• D) A guarantee that you will never be late on payments

What is the primary benefit of using a credit union over a bank?

• A) Higher loan rates

• B) Lower fees and better customer service

• C) More locations

• D) More investment options