Test your knowledge

Choose wisely. There is only one correct answer to each question.

Keep studying!

Review your answers below to learn more.

Defining your financial goals involves all of the following except:

Choose wisely. There is only one correct answer.

Calculating how much you need to save each month

Knowing your tax bracket

Identifying when you want to achieve the goal

Selecting a savings or investment account

Knowing your tax bracket. Knowing your tax bracket is important but not necessary for calculating defining your goals.

Recognizing your emotional triggers is important in personal finance because _______.

Choose wisely. There is only one correct answer.

It helps you avoid positive emotions

It helps you predict the financial decisions you will make

It ensures that you never take emotional risks

It helps you predict the financial decisions you will make.

Student loan money should be used to cover the following types of expenses:

Choose wisely. There is only one correct answer.

School expenses

Cable at your dorm or apartment

Needs and wants

All of the above

School expenses. Student loan money is money borrowed and should only be used on necessary expenses. Cable and wants generally are not necessary expenses.

Two characteristics of a SMART goal are that they are _______.

Choose wisely. There is only one correct answer.

Specific and material

Measurable and time-bound

Savings and monitored

Sensible and material

Measurable and time-bound. 'Specific' is a characteristic too.

The ability to resist immediate rewards in favor of a greater reward in the future is called _______.

Choose wisely. There is only one correct answer.

Delayed gratification

Financial psychology

Personal values

Delayed gratification. This ability is essential for good financial planning.

© Copyright 2024 Precision Information, publisher of the Financial Fitness Group family of products. The trade name Financial Fitness Group and the trademarks Financial Fitness CENTER™, Financial Fitness CHECKUP™ and Financial Fitness ACADEMY™ are exclusive marks of Precision Information, LLC. All rights reserved.