Today we decided to provide a financial quiz. We’ll ask the questions, give you some time to choose your answer, then we’ll discuss what we believe the answers to be.

Give yourself $5 for every question you answer correctly (Put it in savings—you’ll be glad you did!)

 

In This Episode, We Look At:

 

Your current income doubles by the year 2032 and the prices of goods and services doubles as well, how much will your 2032 income allow you to buy?

 

1. Less than today
2. Don’t know
3. More than today
4. The same amount as today

If you maintain a comfortable lifestyle with your current income today and do not receive any increase in earnings over the next ten years, you should be able to maintain the same lifestyle.

 

1. True
2. False

 

If your checking account has a balance of $300 and the bank posts a “Debit” of $50, will your balance change to:

 

1. $350
2. No change
3. $250

 

Your gross earnings for the current pay period are $2,100. Your paycheck (or direct deposit) was $1,612. How much were your earnings for that pay period?

 

1. $2,100
2. $1,612
3. $1,890

 

To establish, or increase your credit score, it is recommended that you:

 

1. Buy something on your credit card and pay it off when you receive the bill. <Or use Debitize!>
2. Buy something that you need and make monthly payments for 6 months to a year to establish a pay history.
3. Frequent the Payday Advance office before every Payday

 

Noah starts investing $100 per month at age 23 and stops all together at age 33 (that’s ten years). Bradly starts investing $100 at age 35 and continues until age 65 (thirty years).

 

With the same investments and the same rate of growth, who will have more money at age 65?

1. Noah
2. Bradly

 

A 15 year mortgage is better than a 30 year mortgage .

 

1. False
2. It Depends
3. True

 

If your take-home pay is $3,200, you should be able to pay a rent or mortgage of $1,600

 

1. True
2. False
3. Not advisable

 

Investing only in one stock, the company you work for, is safer than investing in an index fund, because you know your company very well.   

 

1. True
2. False

 

If your credit card balance is $2,000 and the interest rate is 20% compounded annually, how long would it take for your balance to double if you made no payments? 

 

1. Less than 2 years
2. 2 to 4 years
3. 5 to 9 years.
4. Over 10 years

 

Share Your Thoughts:

If you have a question or comment about today’s topic, we invite you to share your thoughts.

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