|Name: _________________________||Period: ___________________|
This test consists of 15 multiple choice questions and 5 short answer questions.
Multiple Choice Questions
1. A line should be drawn connecting the current month's income to what?
(a) The previous month's income.
(b) The current month's expenses.
(c) The previous year's income.
(d) The previous month's expenses.
2. What generally happens to monthly expenses, when tracked by program participants?
(a) They gradually decrease.
(b) They trend up or down along with income.
(c) They settle into a certain range.
(d) They gradually increase.
3. What is Step 7?
(a) Minimizing debt.
(b) Increasing life energy.
(c) Maximizing income.
(d) Reducing clutter.
4. What is the main pitfall of combining work with true passion or enjoyment?
(a) Passion doesn't always make up for lack of talent.
(b) Having to compromise in order to satisfy someone else.
(c) Enjoyable jobs don't command respect.
(d) Enjoyment goes against the puritan work ethic.
5. What is Step 6?
(a) Minimizing spending.
(b) Planning for retirement.
(c) Creating a wall chart.
(d) Determining net worth.
6. What can cause some people to stop buying any extras at all, after starting to use the wall chart?
(a) Desire to change thier life purpose.
(b) Shock over actual income.
(c) Shock at their spending habits.
(d) Running out of room on the wall chart.
7. What should people be willing to do?
(a) Sacrifice family time for more income.
(b) Sacrifice income for a job that matches a passion.
(c) Work more than 40 hours per week.
(d) Work for what they want.
8. The top number on the y-axis should be at least how large?
(a) Twice as large as the participant's expected expenses.
(b) Twice as large as the participant's expected income.
(c) Three times as large as the participant's expected income.
(d) Equal to the participant's expected income.
9. The crossover point is based on what?
(a) The wall chart.
(b) The transition from an enjoyable job to a well-paying job.
(c) Traffic patterns during work commute.
(d) The decision to earn more money.
10. The wall chart should accommodate data for how long?
(a) Until retirement.
(b) Seven to ten years.
(c) Five to seven months.
(d) Five to seven years.
11. How should people handle unusual extra expenses?
(a) Try to obtain a higher-paying job.
(b) Pay with cash or try to spread the expense out over several months.
(c) Obtain a designated credit card.
(d) Obtain a home equity loan.
12. A person's crossover point is an estimate based on which type of expenses?
(a) Food, housing, insurance, and health.
(b) Food and housing only.
(c) Monthly expenses while they are working.
(d) Monthly expenses after retirement.
13. Prestige, status, and power can be reasons for what?
(a) Keeping up with the neighbors.
(b) Retaining life energy.
(c) Choosing a certain job.
(d) Early retirement.
14. What is the most important strategy in following Step 7?
(a) Choosing a job with high pay.
(b) Following a passion.
(c) Reducing monthly expenses.
(d) Conserving life energy.
15. How do most people define work?
(a) What they do to make a living.
(b) Life energy spent.
(c) Full-time employment.
(d) Anything that is not enjoyable.
Short Answer Questions
1. What should a participant plot on their wall chart each month?
2. Taking care of possessions and avoiding shopping are part of which list?
3. What do the authors warn job-hunters to avoid?
4. The numbers along the y-axis should increase by what increment?
5. What is one sure way to save money?
This section contains 573 words
(approx. 2 pages at 300 words per page)