|Name: _________________________||Period: ___________________|
This test consists of 15 multiple choice questions and 5 short answer questions.
Multiple Choice Questions
1. How does the realization that not all work is paid add life to retirement?
(a) People who do not work after retirement live longer.
(b) People who do not work after retirement have fewer health problems.
(c) Retired people are happy because they no longer work.
(d) Retired people know they can still be useful.
2. If "work" is different from "paid employment," then which of the following is true?
(a) Work includes anything people do to provide a service, including cleaning the house.
(b) Cleaning is only work when it's done by a paid professional.
(c) Volunteer jobs are not work.
(d) Retirement is the absence of work.
3. A line should be drawn connecting the current month's income to what?
(a) The previous month's income.
(b) The previous year's income.
(c) The previous month's expenses.
(d) The current month's expenses.
4. What is the best thing to do with the interest received?
(a) Purchase rental properties.
(b) Put the money under a mattress for a rainy day.
(c) Reinvest it.
(d) Purchase a larger home as a hedge against inflation.
5. What is the best method of choosing which expenses to reduce or eliminate?
(a) Add up the plusses and minuses on the monthly chart.
(b) Use answers to the three questions from Chapter 3.
(c) Use answers to the three questions from Chapter 4.
(d) Compare income to expenses on the wall chart.
6. What is a major advantage of separating employment from passion?
(a) Jobs that do not inspire passion usually pay more.
(b) A greater variety of employment options becomes available.
(c) Passion won't be used as a substitute for experience.
(d) It is better to remove emotion from gainful employment.
7. What is the recommended size of the wall chart?
(a) From 18 to 24 inches tall, and from 22 to 36 inches wide.
(b) From 18 to 24 inches wide, and from 22 to 36 inches tall.
(c) From 18 to 22 inches wide, and from 24 to 36 inches tall.
(d) From 18 to 22 inches tall, and from 24 to 36 inches wide.
8. The numbers along the y-axis should increase by what increment?
(a) 1 or 2.
(b) 10 or 20.
(c) 1,000 or 2,000.
(d) 100 or 200.
9. Taking care of possessions and avoiding shopping are part of which list?
(a) 3 SURE WAYS TO SAVE MONEY.
(b) 10 SURE WAYS TO SAVE MONEY.
(c) 101 SURE WAYS TO SAVE MONEY.
(d) 1,001 SURE WAYS TO SAVE MONEY.
10. Most of the 101 SURE WAYS TO SAVE MONEY have what added benefit?
(a) They improve career options.
(b) They increase hourly wage.
(c) They delay retirement.
(d) They are good for the planet.
11. What is one difference a frugal person should consider when choosing between two similar vehicles?
(a) Foreign-made vs. American-made.
(b) Available options.
(d) Resale values.
12. The top number on the y-axis should be at least how large?
(a) Three times as large as the participant's expected income.
(b) Twice as large as the participant's expected expenses.
(c) Equal to the participant's expected income.
(d) Twice as large as the participant's expected income.
13. How should program participants adjust their medical insurance?
(a) Cancel insurance and make healthier lifestyle choices.
(b) Cancel insurance and maintain a medical savings account.
(c) Accept a lower deductible.
(d) Accept a higher deductible.
14. The crossover point is based on what?
(a) Traffic patterns during work commute.
(b) The wall chart.
(c) The decision to earn more money.
(d) The transition from an enjoyable job to a well-paying job.
15. What are two tips for reducing transportation expenses?
(a) Walking to do local errands and learning to do basic auto maintenance.
(b) Walking to do local errands and retiring early.
(c) Retiring early and buying a new car.
(d) Buying a new car and learning to do basic auto maintenance.
Short Answer Questions
1. How do most people define work?
2. Where do the authors recommend finding job-hunting advice?
3. What generally happens to monthly expenses, when tracked by program participants?
4. What can cause some people to stop buying any extras at all, after starting to use the wall chart?
5. If people stop buying any extras at all, what are they in danger of doing?
This section contains 707 words
(approx. 3 pages at 300 words per page)