|Name: _________________________||Period: ___________________|
This test consists of 15 multiple choice questions and 5 short answer questions.
Multiple Choice Questions
1. A person's crossover point is an estimate based on which type of expenses?
(a) Monthly expenses while they are working.
(b) Food and housing only.
(c) Food, housing, insurance, and health.
(d) Monthly expenses after retirement.
2. What encourages family, friends, and neighbors to support the participant's goals in following this program?
(a) Placing the wall chart in a public place.
(b) Asking them for a loan.
(c) Making wall charts for them to use.
(d) Making retirement plans with them.
3. What is the main purpose of the wall chart?
(a) To define values and purpose.
(b) Keep finances on the person's mind, to help them make more conscious choices when spending money.
(c) To replace the monthly chart created previously.
(d) To define commitment to the program.
4. If people invest more money each month, what happens to the monthly interest?
(a) The interest increases each month.
(b) The interest becomes tax-deductible.
(c) The interest must be withdrawn from the account.
(d) The interest decreases each month.
5. How should people handle unusual extra expenses?
(a) Pay with cash or try to spread the expense out over several months.
(b) Try to obtain a higher-paying job.
(c) Obtain a designated credit card.
(d) Obtain a home equity loan.
6. What may reaching the crossover point cause participants to do?
(a) Continue working or choose a new job.
(b) Increase spending.
(c) Start a new wall chart.
(d) Explore other routes to work.
7. Participants should always remain conscious of what?
(a) Life energy.
(c) Impending retirement.
(d) All the job opportunities around them.
8. The wall chart's time span is a rough deadline for what?
(b) Achieving financial independence.
(c) Finding a new career.
(d) Finding a life purpose.
9. What should people be willing to do?
(a) Work for what they want.
(b) Sacrifice family time for more income.
(c) Sacrifice income for a job that matches a passion.
(d) Work more than 40 hours per week.
10. Where do the authors recommend finding job-hunting advice?
(a) Friends and family.
(b) The Internet.
(c) "What Color Is Your Parachute?"
(d) "What Color Is Your Safety Net?"
11. What do the authors warn job-hunters to avoid?
(a) Taking a job that requires relocation.
(b) Taking a job too closely connected to a hobby or passion.
(c) Taking the first offer that comes along.
(d) Spending a lot of money on schemes to find the perfect job.
12. Prestige, status, and power can be reasons for what?
(a) Early retirement.
(b) Choosing a certain job.
(c) Retaining life energy.
(d) Keeping up with the neighbors.
13. What are some good alternatives to buying what is needed?
(a) Sharing, trading, and stealing.
(b) Begging, stealing, and borrowing.
(c) Borrowing, trading, and sharing.
(d) Trading, sharing, and retiring.
14. Paying attention to every thought and deciding whether to act on each thought is crucial to what?
(a) Life energy.
(b) 1,000,001 SURE WAYS TO SAVE MONEY.
(c) 1,001 SURE WAYS TO SAVE MONEY.
15. What mistake do people often make, when describing their jobs?
(a) Identifying themselves by their careers.
(b) Revealing annual income.
(c) Playing down their true talents.
(d) Saying uncomplimentary things about thier supervisors.
Short Answer Questions
1. What is the most important strategy in following Step 7?
2. Where should monthly investment income be tracked?
3. What generally happens to monthly expenses, when tracked by program participants?
4. What is one difference a frugal person should consider when choosing between two similar vehicles?
5. What is the main pitfall of combining work with true passion or enjoyment?
This section contains 616 words
(approx. 3 pages at 300 words per page)