|Name: _________________________||Period: ___________________|
This test consists of 15 multiple choice questions and 5 short answer questions.
Multiple Choice Questions
1. How is a real hourly wage figured?
(a) Divide real pay by real hours worked.
(b) Divide real hours worked by real pay.
(c) Divide real hours worked by work expenses.
(d) Divide real pay by actual hours worked.
2. In Question 2, what must participants ask if each expenditure is in alignment with?
(a) Their values and life purpose.
(b) Family needs.
(c) Hours spent at work.
(d) Statistical norms.
3. Why should clothing be broken down into smaller categories, such as informal, work, sports, etc.?
(a) To avoid purchases that are worn only once.
(b) To encourage donations of older clothes to charity.
(c) To encourage participation in sports.
(d) To allow for a greater volume of work-related purchases.
4. What have many people been told by parents and guidance counselors?
(a) Employment security is more important than happiness.
(b) That they can be anything they want to be.
(c) Money is more important than happiness.
(d) That the job market is tight.
5. What causes people to believe that "growth is good" and "more is better?"
(a) Personal responsibility.
(b) Intrinsic value of money.
(c) Fear of inflation, recession, and depression.
(d) Emotional and psychological perspective of money.
6. What attitude do the authors want readers to carry?
(a) No harm, no foul.
(b) No shame, no blame.
(c) No guts, no glory.
(d) No pain, no gain.
7. What is the final part of Step 3?
(a) Figuring out how much life energy remains.
(b) Figuring out how much life energy went into each expenditure.
(c) Choosing expenses to eliminate.
(d) Determining net worth.
8. What three columns should record-keeping include?
(a) Necessities, luxuries, and expenses to eliminate.
(b) Salary, gifts, and prizes.
(c) Income, expenditures, and hours of life energy spent.
(d) Gross income, life energy spent, and expenses to eliminate.
9. Why do many people give up on their dreams?
(a) They believe dreams use life energy.
(b) They believe dreams have no meaning.
(c) People dream when they sleep too many hours per night.
(d) Dreams may not be practical and often do not fit in with reality.
10. Why should people not budget their money?
(a) Budgeting increases spending.
(b) Budgeting takes time away from family activities.
(c) Budgeters are inclined to mathematical error.
(d) Budgeters feel as if they are giving up something they love.
11. Under which category does money paid to employ servants and service workers fall?
(a) Keeping up with the neighbors.
(b) More is better.
(c) Work-related expense.
12. What might cause readers to feel guilty, after completing Step 1?
(a) Seeing their credit score.
(b) Seeing how much they owe or how little they have earned.
(c) Spending too much time with family.
(d) Feeling less successful than their work colleagues.
13. What are "gazingus pins?"
(a) Clips to attach spending charts to refrigerators or bulletin boards.
(b) Pins to attach to a spending chart to indicate unnecessary expenses.
(c) Any items the reader has an unreasonable amount of, due to habitual shopping.
(d) Larger-than-standard pins.
14. Where do values come from?
(a) Saving money.
(b) Working harder.
(d) Bargain hunting.
15. What must a person do to become financially independent?
(a) Inherit from rich relatives.
(b) Save as much as possible.
(c) Work harder.
(d) Let go of everything they have learned about money.
Short Answer Questions
1. Which perspective of money should readers embrace?
2. What two addictions are compared in Chapter 3?
3. People strive to buy and earn more than they need to live at the peak of their fulfillment curve due to which perspective of money?
4. What will eventually run out?
5. What do most people claim to value more than money?
This section contains 589 words
(approx. 2 pages at 300 words per page)