Question

The bottom line is that having enough money means:

Question 1 options:

	1) being able to pay all the bills and have some left over
	2) having more than others in your social group
	3) having money in the bank sufficient to pay two months worth of bills
	4) being comfortable with the security you have

Question 2 (1 point)

People who have enough money:

Question 2 options:

	1) feel secure with what they have
	2) feel they need more than what they have
	3) feel they will never have as much as they need
	4) delude themselves into feeling secure with what they have

Question 3 (1 point)

The relationship between time and money shows that:

Question 3 options:

	1) money is earned by people who work
	2) it is never too late to start saving for retirement
	3) the earlier one starts, the greater the probability one gets enough
	4) money comes to those who wait

Question 4 (1 point)

The relationship between interest and inflation means:

Question 4 options:

	1) if interest and inflation are the same, the value of our money stays the same over time
	2) if interest is greater than inflation, the value of our money increases over time
	3) if inflation is greater than interest, the value of our money decreases over time
	4) if we decide not to invest our money, we eliminate the effects of both interest and inflation
	5) b and c
	6) a and d

Question 5 (1 point)

Social Security is

Question 5 options:

	1) An investment program to ensure after-retirement income
	2) An optional investment program for after-retirement income
	3) An investment program much like your 401K
	4) An old age pension paid for by the next generation

Question 6 (1 point)

To teach basic principles of personal finance in a free enterprise economy rests on the proposition that

Question 6 options:

	1) People who live in a free enterprise economy have to participate in it
	2) People who live in a free enterprise economy have the right to participate in it
	3) People who live in a free enterprise economy are unpatriotic if they do not participate in it
	4) People who live in a free enterprise economy have the right to know how to participate in it

Question 7 (1 point)

To invest in a free enterprise economy, a person needs

Question 7 options:

	1) Cooperation from an investment counselor
	2) Cooperation from a bank
	3) A steady income
	4) Money to invest

Question 8 (1 point)

Inflation is what happens to the value of money over time.

Question 8 options:

	1) True
	2) False

Question 9 (1 point)

The essentially free enterprise economy exists only for:

Question 9 options:

	1) people who know it exists
	2) Americans
	3) people who know how to use it
	4) people who believe in it

Question 10 (1 point)

Interest ___________ the amount of money over time.

Question 10 options:

	1) increases
	2) decreases
	3) equalizes
	4) destabilizes

Answer 1