Financial Literacy

What is the recommended percentage of income to save?

• 10%

• 25%

• 50%

• 75%

What is savings?

• Money spent on wants

• Money spent on needs

• Money set aside for future use

• Money borrowed from others

What is the purpose of a credit card?

• To save money

• To invest money

• To borrow money

• To earn money

What is the purpose of a budget?

• To track income and expenses

• To increase debt

• To spend money impulsively

• To save money

What is an expense?

• Money earned from investments

• Money saved for future use

• Money spent on wants and needs

• Money borrowed from others

What is an emergency fund?

• Money saved for vacations

• Money saved for unexpected expenses

• Money saved for retirement

• Money saved for investments

What is a budget?

• A plan for spending money

• A plan for saving money

• A plan for earning money

• A plan for investing money

What is the purpose of a savings account?

• To earn interest on money

• To invest money in stocks

• To borrow money

• To pay bills

What is the difference between a debit card and a credit card?

• Debit cards are linked to a bank account, while credit cards are a form of borrowing

• Debit cards have a credit limit, while credit cards do not

• Debit cards charge interest, while credit cards do not

What is a credit score?

• A measure of how much money you owe

• A measure of your ability to save money

• A measure of your ability to earn money

• A measure of your creditworthiness