Budgeting Basics
What is the term for money spent on needs like rent, food, and transportation?
Essential expenses
What is the term for money set aside for unexpected emergencies?
Emergency Fund
What is the term for the amount of money borrowed that must be repaid?
Principal
Who founded Microsoft?
Bill Gates
What percentage of your income is commonly recommended for savings?
20%
What does it mean to "diversify" your investments?
Spread investments across different assets to reduce risk
What does “APR” stand for?
Annual Percentage Rate
Who is the founder of Amazon?
Jeff Bezos
What’s the term for tracking your income and expenses to plan future spending?
Budgeting
What is a 401(k)?
A retirement savings plan offered by employers
What’s the term for the total amount of income earned before taxes or deductions?
Gross Income
Who is the CEO and co-founder of Tesla, Inc.?
Elon Musk
What’s a common method of budgeting that splits income into "needs," "wants," and "savings"?
the 50/30/30 rule
What type of interest earns money on both the initial amount and the accumulated interest?
Compound interest
What is a credit score?
A numerical representation of your creditworthiness
Who founded Facebook?
Mark Zuckerberg
If you earn $3,000 per month and your rent is $1,200, what percentage of your income goes to rent?
40%
What is the term for purchasing shares in a company to own a small part of it?
Stock investment
What’s the term for an agreement where you pay a regular amount to use an asset like a car or apartment?
Lease
Who is the entrepreneur of Fenty Beauty?
Rihanna