|Name: _________________________||Period: ___________________|
This test consists of 5 short answer questions, 10 short essay questions, and 1 (of 3) essay topics.
Short Answer Questions
1. What should the amount started with at the beginning of the month, plus total income, minus total expenses equal?
2. Why should people not budget their money?
3. Why do many people give up on their dreams?
4. People should spend only until they are fulfilled, just as they should do what?
5. In Question 1, for each expense, participants must ask if they received fulfillment, satisfaction, and value in proportion to what?
Short Essay Questions
1. For Step 4, what is the second question program participants should ask, regarding every expense on their chart? What is required, before answering this question?
2. Why is it beneficial to be specific with categories, rather than more general?
3. What perspective of money do the authors endorse? Why?
4. What are some examples of recreational expense categories?
5. What are some of the not-so-obvious expenses related to a person's work?
6. What is the first part of Step 1? What is its purpose?
7. Whenever people spend money, what more valuable commodity are they also spending?
8. Why is Step 4 considered the heart of the program?
9. How does the protestant work ethic influence the behavior of many Americans?
10. Why do many people give up on their dreams early in life?
Write an essay for ONE of the following topics:
Essay Topic 1
Why do the authors encourage program participants to calculate their real wage? Based on real wage, why should people sometimes consider changing to a lower-paying job? How does this jibe with the authors' advice elsewhere in the book, to maximize income?
Essay Topic 2
What does a person's financial independence have to do with their life purpose? Does fulfillment come from financial independence or from attending to a life purpose? How do the authors' three questions, listed in Chapter 4, help participants to achieve financial independence and connect with their life purpose?
Essay Topic 3
Expand upon the authors' comparison between budgeting and dieting. Why are honest record-keeping and frugality better tools for managing finances than a budget? What terms would parallel record keeping and frugality, in terms of managing food intake?
This section contains 743 words
(approx. 3 pages at 300 words per page)