Personal Financial Literacy: Budgeting Test

The 50/30/20 rule describes how much a person should be budgeting for their needs, wants, and savings.

Which of the following expenses is a need according to the 50/30/20 rule?

• 
  gym membership

• travel fund

• rent or mortgage

• cable TV subscription

What should 30% of your income go towards, if you are following the 50/30/20 rule?

• Wants
• Needs

• Investments
• Savings

According to the 50/30/20 rule, what percentage of your income should you allocate to

savings?

• 10%
• 30%
• 50%
• 20%

You have a monthly income of $2,000. You plan to follow the 50/30/20 rule for budgeting.

How much of your monthly income can you spend on wants?

You have a monthly income of $3,000. You plan to follow the 50/30/20 rule for budgeting.

How much of your monthly income can you spend on needs?

You have a monthly income of $3,500. You plan to follow the 50/30/20 rule for budgeting.

How much of your monthly income should you save?

The 50/30/20 rule describes how much a person should be budgeting for their needs, wants, and savings.

Which of the following expenses is a savings according to the 50/30/20 rule?

• Dining out expenses
• Retirement account contributions
• Utility payments
• Grocery bills

A pack of 8 light bulbs costs $12

What is the cost per bulb?
Round your answer to the nearest whole cent.

Here is the price tag for an item at a grocery store:

What is the per unit price of the following item?

Why should you pay attention to the per unit pricing when grocery shopping?

• To find the most expensive items.
• To ignore sales and discounts.
• To focus only on brand names.
• To ensure you get the best value for your money.