Emma Lives On A Tight Budget

Question: Which best describes what financial planning skills ultimately enable an individual to do?

Answer: to prepare for the future

Question: How do short-term goals differ from long-term goals?

Answer: Short-term goals are more immediate than long-term goals.

Question: What is included in an individual’s personal finances?

Answer: X money, property

Question: Which results are more likely for someone without personal finance skills?

Answer: higher tax rates

less preparation for emergencies

increased long-term challenges

Question: Emma lives on a tight budget. She saves money and also makes intelligent choices when spending it. Which of these statements decribe Emma’s financial skills?

Answer: X

Emma is more prepared to meet her basic needs.

Emma is better prepared to avoid financial setbacks.

Emma is more prepared to face emergencies.

Question: Amanda wants to buy a new car. What questions should she ask before she makes the purchase?

Answer: Do I need this car or should I use my old car a little longer?

Is this a reliable vehicle?

Will buying this car prevent me from saving money to buy a house?

Question: Which would be most helpful when considering a large expenditure that might require repeating payments?

Answer: X creating a budget to consider future income and spending

Question: In American society, which of these is an example of a want?

Answer: video games

Question: A ______ is a plan in which an individual balances available resources and expenses.

Answer: Budget

Question: What are the main purposes of a budget?

Answer: X

to record past income and spending

to plan future income and spending