Money
Income
Calculating Earnings
Banks
Free for all
100
What is money?
Anything that is accepted in payment for a good or service
100
Where does most of your income come from?
A paycheck
100
In order to calculate earnings, you have to deduct _________, ____________, and ______________ from the _____________ pay.
Mandatory, non-mandatory, exemptions, original gross pay
100
Banks do what?
Sell financial services, help people manage money, safe place for money
100
What is the difference between a fixed expense vs a variable expense?
A fixed expense is an expense whose total amount doesn't change when there is an increase in activity and a variable expense is an expense that changes to the need or want of the consumer.
200
The two issues with the barter system is that ...
It's difficult to find someone who wants the item
You can't make change for an item that costs less than the form of payment
200
True or False: Deductions is an expense subtracted from the net income: If false, correct the statement.
False: Deduction is an expense subtracted from gross income
200
What is the ideology behind FICA?
The money that is taken out of workers paycheck to pay for older Americans social security retirement and medicare will circle back when the worker retires.
200
True or False: All regulated deposits, in all banks, up to $250,00 are insured by FDIC. If false, fix the statement.
False: All regulated deposits up to $250,000 are insured by FDIC BUT not all banks are regulated.
200
True or false: A short term goal can last for 1-5 years.
False, a short term goal can last up to a year
300
What are the functions of money? Explain each
Medium of exchange: Use it to get what you want
Standards of value: Express value of different items
Store of value: Saved for future use
300
What is the different between a FICA SS tax and a 401k?
A FICA SS tax is a mandatory tax and a 401k is optional
300
If the total amount of deductions is $290.26 and the following deductions are taken out:
FICA Med tax: $14.50
FICA SS Tax: $62.00
FED Tax: ?
CA ST Tax: $44.26
SDI: $10
What is the federal tax?
$159.50
300
Where do banks get the money to give out loans?
Customers deposits and fees charged
300
What is the purpose of a SMART goal?
Step by step process to achieve a goal realistically
400
True or false: Relative Scarcity is the idea that the value doesn't change rapidly. If false, give the true meaning.
False: The idea that there is not enough resources to meet our needs and want
400
What is the amount that Hidalgo takes home after deductions are taken out?
$778.12
400
Determine the total amount of deductions on Sandra's salary if she works $13.50/hour for 32 hours
$116.12
400
True or false: Online banking is available to customers for a fee
False. Online banking is free with an account
400
What is the total amount of non-mandatory deductions?
$135
500
The federal reserve is
responsible for the amount of money in circulation
500
What is the amount taken out for the mandatory taxes stated above for (YTD)
$1,465.10
500
What is David's take home pay if he works $15.00/hour for 40 hours?
$440.10
500
Banks work under the assumption that ...
You will not withdraw all their deposits at the same time
500
How much money did Harold get paid for his work? How much did he take home?
$2,308.69--current amount
$1,808.08--Net Pay