Personal Financial Literacy

Which of the following is an example of a fixed expense?

• Rent

• Food

• Credit card bill

• Car payment

Based on the transactions recorded in the check register, what would be the ending bank balance?

• $60.95

• $160.95

• $240.95

• $150.95

Anna Would like to purchase a new mountain bike that costs $600. She only has $300 in her checking account now. Which of the following statements is true?

• She can use her debit card to pay for the bike and pay off the debit card over time.

• She can save up the remainder of the balance and then pay with a credit card.

• She can use her debit card to pay for th bike directly from her back account.

• She can use her credit card to buy the bike now and pay it off over a period of time.

Based on the table, how much did it cost this family to attend the museum?

Answer explanation

$83.50

Two different bank are advertising their checking accounts. Which of the following is a better choice if the Jackson family averages about $2,200 in their checking account?

• Bank of Texas

• Main Street Bank

• They are equally good choices.

The Samson family is moving to another city that has a higher "cost of living". They estimate their required monthly income will need to be $6200. How much more money will they need to live in the new city?

The Samson family has a monthly income of $4,500.

How much does the Samson family spend on rent each month?

Angie has $1062 in her savings account. If the bank pays 4% simple interest on savings, how much interest does she earn in 3 years?

This is the budget for the Jones family. What percentage of the total budget is represented by entertainment? (hint: use a percent proportion to solve).

John is deciding whether to use a debit card or a credit card to purchase a $50 remote control helicopter. Which statement correctly explains which card John should use to make his purchase?

• He should use a credit card because it withdraws the money from his bank account automatically.

• He should use a credit card because it can withdraw money from a bank account as purchases are made.

• He should use a debit card because it is used like cash or checks.

• He should use a debit card because it is used like a personal short-term loan.