|Name: _________________________||Period: ___________________|
This test consists of 15 multiple choice questions and 5 short answer questions.
Multiple Choice Questions
1. Under which category does money paid to employ servants and service workers fall?
(a) Work-related expense.
(b) More is better.
(c) Keeping up with the neighbors.
2. What does Question 2 help people to figure out?
(a) How will expenses change after retirement?
(b) How well they are doing at moving toward their purpose.
(c) Life energy spent.
(d) Whether income exceeds expenses.
3. What will eventually run out?
(a) The earth's resources.
(b) Social Security.
(c) Time and money.
(d) Job growth.
4. What have many people been told by parents and guidance counselors?
(a) Employment security is more important than happiness.
(b) That the job market is tight.
(c) That they can be anything they want to be.
(d) Money is more important than happiness.
5. Which of the following does the emotional and psychological perspective of money include?
(a) Personal responsibility.
(b) Fear of unemployment.
(c) Using credit cards.
(d) The tendency to spend quickly or cautiously.
6. How often should people total their income and expenses?
(a) Once a week.
(b) Whenever a paycheck is deposited.
(d) Once a month.
7. On average, what do Americans have less of than ever before?
8. What allows people to enjoy their planet, community, and spirituality more than ever before?
(b) Living frugally.
(c) Being green.
(d) Taking more vacations.
9. In Question 1, for each expense, participants must ask if they received fulfillment, satisfaction, and value in proportion to what?
(a) Dollar value.
(b) Life energy spent.
10. Why are expensive convenience foods considered to be a work expense?
(a) Convenience foods promote life energy.
(b) Factories employ people to produce convenience foods.
(c) People are too tired after work to make dinner.
(d) Unemployed people cannot afford convenience foods.
11. What items are included in everything owned?
(a) All items purchased during a lifetime.
(b) Estimated current sale price of all items currently owned, plus other assets such as cash and investments.
(c) All items in the garage and basement.
(d) Add together everything owned, then subtract everything owed.
12. Question 1 is answered with a plus sign under what circumstance?
(a) If the expenditure was a necessity.
(b) If the expenditure was worth the life energy spent.
(c) If the purchase was work-related.
(d) If income is greater than expenses for the month.
13. How should people reduce spending?
(a) By taking a lower-paying job.
(b) By increasing awareness of how much life energy it takes to pay for each expense.
(c) By putting money in the bank.
(d) By staying home.
14. Why should readers not use premade categories from other budget books?
(a) Other budget books are inferior.
(b) Everyone has different spending habits.
(c) Some categories may be out of date.
(d) Some categories are difficult to track.
15. Attitude toward buying groceries is part of which perspective of money?
(c) Emotional and psychological.
(d) Life energy.
Short Answer Questions
1. What must a person do to become financially independent?
2. Why are small, specific categories recommended over traditional, broad categories?
3. What do the authors suggest that people divide their spending into?
4. Some people reach the top of their profession and make good money, yet are still not what?
5. What is the key to good spending habits?
This section contains 567 words
(approx. 2 pages at 300 words per page)