SAVING SMART
What is the financial habit of regularly putting aside a portion of your income called?
Saving
What do investors hope to earn from an investment?
Return
What institution keeps your money safe and provides financial services such as savings accounts and loans?
Bank
What generally happens to potential returns when an investment has higher risk?
Potential returns are generally higher
What is the document or plan used to track income and expenses?
Budget
If you earn RM2,500 and spend RM1,800, how much can you potentially save?
RM700
Which investment represents ownership in a company: stocks or bonds?
Stocks
What do you call the money deposited into a bank account?
Deposit
What is the possibility of losing money on an investment called?
Risk
What is the term for something you must have or pay for, such as food and housing?
Need
What type of savings is specifically set aside for unexpected expenses?
Emergency savings
What do we call a financial investment where you lend money to a company or government in exchange for interest payments?
Bond
What is the amount charged by a bank for providing a particular service called?
Bank fee
What investment strategy involves spreading money across different assets?
Diversification
What is the term for something you want but can live without, such as expensive entertainment?
Want
If you save RM300 per month, how much will you have after 2 years?
RM7,200
An investment costs RM2,000 and is sold for RM2,500. What is the profit?
RM500
If you deposit RM5,000 and the bank gives you RM150 in interest after one year, what is the interest rate?
3%
You invest RM5,000 and receive RM250 in profit. What is your percentage return?
5%
You have RM3,000 in savings and RM1,000 in debt. What is the difference between these two amounts?
RM2,000
You need RM12,000 for a future goal in 24 months. How much must you save every month?
RM500
An investment of RM10,000 loses 8% of its value. What is its new value?
RM9,200
A bank offers 3% interest. You deposit RM10,000 and leave it untouched for one year. Assuming simple interest, how much will you have at the end?
RM10,300
Investment A has a potential return of 4%, while Investment B has a potential return of 10%. Which has the higher potential return?
Investment B
You earn RM4,000 a month. You spend RM2,000 on needs, RM1,000 on wants, and save the remaining amount. What percentage of your income do you save?
25%