Savings
Are videogames needs or wants?
Wants
A piece of paper that tells a bank to pay the holder a certain amount of money is: a) a debit card b) cash c) a credit card d) a check
d) a check
How many types of interest are there?
a) 0
b) 1
c) 2
c) 2
(The 2 types of interest are simple interest and compound interest)
Is a Nike sneaker or a sneaker without a brand name cheaper?
A sneaker without a brand name
Expenses that stay the same from month to month are called:
a) fixed expenses
b) flexible expenses
Fixed expenses
Is junk food a need or a want?
Want
Money in debit cards is stored in
a) checking accounts
b) credit cards
c) cash
a) checking accounts
(the money you use to write checks also comes from your checking account)
If you give money to the bank and it is added to your account are you
- depositing money
or
- withdrawing money
depositing money
(withdrawal is when you take money out of your account)
Will a refurbished(used and fixed to look new) phone be cheaper than a brand new phone?
Yes
(refurbished technology is cheaper than brand new technology)
Give one example of a flexible expense (an expense that changes from month to month)
Possible answers include:
gifts, toys, clothing, video games, food, electricity, and water
Is spending money immediately instant gratification or delayed gratification?
Instant gratification
If you need to buy something immediately, but don't have any money in your bank account, would you use a credit card or a debit card?
Credit card
(credit cards let you buy something now and pay for it later)
Money borrowed from a bank is a
a) withdrawal
b) loan
c) deposit
d) interest
b) loan
What is comparison shopping?
Comparing the prices of different items in order to find the best value
What is income?
Money that you earn by working or receive as your allowance for doing chores
Which is better: delayed gratification or instant gratification?
Delayed gratification (waiting to spend your money means you'll have more in the future)
What is a benefit of using a debit card?
Any of the following are acceptable answers:
- It is convenient and quick to use
- You can only spend money you have
- It is easy to get
Can you think of one tip for choosing a bank account?
Any of the following are acceptable answers:
- No minimum balance requirement
- No monthly maintenance fees
- Online account management
- High interest rate
To save money, should you buy cheap fast food or buy ingredients in bulk and cook at home?
Buy ingredients in bulk and cook at home
What is a financial plan that takes income & expenses into account & estimates how much you’ll make & spend over a given period of time called?
A budget
Why should we save money?
Any of the following reasons:
- You might need it if there is a disaster/emergency in the future
- To buy a want that you cannot yet afford
- Money in a bank gains interest - by saving you will have more in the future!
Why is it better for kids to use debit cards instead of credit cards?
Credit cards are dangerous because interest might keep piling up. Debit cards only let you pay with money you already have, so you won't be in debt.
How do banks make money?
They charge more interest to people who take out loans than they give to people who save money.
Which is a better deal?
- 1 frisbee for $5
- 4 frisbees for $12
4 frisbees for $12
Divide price by quantity to find the value per frisbee:
Option 1) 5/1 = $5 per frisbee
Option 2) 12/4 = $3 per frisbee
Why is budgeting important?
Any of the following reasons are acceptable answers:
- Must have a plan for how much you’ll save and spend, otherwise you can spend more than you have
- Makes saving money easier
- Lets you track where your money is going