(1) Which statement is true of a household budget?
A) Essential expenses should be reduced.
B) Interest should not be calculated as income.
C) Income should be more than expenses.
D) Variable expenses should be removed.
(2) If Joan is unable to pay her mortgage, the bank may take her house away from her. Which of the following best describes Joan’s house?
A) bankruptcy
B) collateral
C) credit
D) interest
(3) Groceries and rent are examples of...
A) assets
B) essential expenses
C) personal income
D) loans
(4) What is the amount of money that a person takes in over a specified period of time?
A) budget
B) credit
C) income
D) expense
(5) Which statement describes a variable expense?
A) Chrystal pays $120 each month for access to high-speed internet at her house
B) Gemma’s mortgage payment is exactly $784.56 every month.
C) John makes an $89 payment each month on his new mobile phone
D) Mia’s electricity bill total depends on how much electricity she uses each month.
(6) Why is it important to save money?
A) If you have money in savings, you won’t be charged interest on your loans.
B) If you save money now, you will have multiple bankruptcy options in the future
C) Saving money allows you to pay for expensive goods and services in the future.
D) Saving money is a requirement once you start earning a regular salary.
1. C
2. B
3. B
4. C
5. D
6. C
This is what I picked, I don't know if it's right
ok for
(1) Which statement is true of a household budget?
A) Essential expenses should be reduced.
B) Interest should not be calculated as income.
C) Income should be more than expenses.
D) Variable expenses should be removed.
It's C
I just finished the test and this was the last one for me and I had this open and I got a 100 :D
Gabriella is also 100% for the ones she gave. I picked those answers too
(1) The statement that is true of a household budget is C) Income should be more than expenses. To determine if a household budget is balanced, the total income should be greater than the total expenses. To ensure this, you need to track your income and expenses and make adjustments as needed.
(2) The best description of Joan's house is B) collateral. Collateral is an asset that is used as security for a loan. In this case, Joan's house is used as collateral for her mortgage, and if she is unable to pay, the bank may take her house away as a form of repayment.
(3) Groceries and rent are examples of B) essential expenses. Essential expenses are necessary costs that are incurred regularly, such as basic needs like food, housing, and utilities.
(4) The amount of money that a person takes in over a specified period of time is C) income. Income refers to the money you earn from various sources, such as your job, investments, or any other form of financial gain.
(5) The statement that describes a variable expense is D) Mia’s electricity bill total depends on how much electricity she uses each month. Variable expenses are costs that can vary in amount from month to month based on usage or other factors. In this case, Mia's electricity bill can fluctuate depending on her monthly electricity consumption.
(6) It is important to save money because C) saving money allows you to pay for expensive goods and services in the future. By saving money, you can accumulate funds that can be used for future expenses, such as emergencies, major purchases, or even retirement. It provides financial security and allows you to have financial flexibility and independence.