ALS AERT and A&E Practice Test 2020 - MyDev Life Skills Curriculum - Module 7 - Financial Fitness

Choose the letter of the correct answer.

1. Because of the pandemic, Ramnick lost his job at a popular fast food restaurant. In three weeks, he needs to pay the rent of his apartment. What is NOT good for him to have the money?

 A. ask from his family

B. borrow from his girlfriend

C. steal from his inconsiderate landlord

D. look for another job

2. The produce of Mang Berto’s farm was excellent that’s why he earned a substantial sum of money from it. What do you advise him about his extra money?

 A. to invest it in a get-rich-quick scheme

B. to lend it to other farmers

C. to keep it in a bank or savings society

D. to give it to you for safekeeping

3. Aling Rosa promised his son for a birthday celebration in five months’ time. Which of the following will help her attain her goal?

A. Limit TV viewing time

B. Sell old shoes and clothes

C. Reuse and recycle

D. All of the above

4. Rodel is making a financial plan. Which of the following questions he is NOT considering?

A. Which branded shoes should I buy first?

B. How much of my salary should I start saving?

C. Is my retirement pension enough?

D. How will I earn money?

5. The following strategies can help Ramoncito reduce his debts EXCEPT _______.

A. Pay off debts that carry higher interest immediately.

B. Speak amicably with lenders on how and when he can repay them.

C. Buy only things he wants and not what he needs.

D. Don’t borrow anymore.

6. Places or institutions where Nerissa can save and borrow money.

A. Pawn shop

B. Microfinance Institution

C. Commercial Bank

D. Cooperative

7. You can start record-keeping and budgeting _________.

A. only if your expenses exceed your income

B. only if your income exceeds your expenses

C. even if you have normal income and expenses

D. all of the above

8. Which of the following statement is FALSE?

 A. We have different needs for money that change at different stages of life.

B. We need to plan how to get money for the things that we want.

C. We can get money by asking and/or borrowing from someone or financial institutions.

D. We can earn money by working, lending, and saving.

9. You can save by practicing the following EXCEPT ________.

 A. Repair

B. Reduce

C. Retire

D. Recycle

10. A financially fit individual makes it a habit to consider ________ foremost in buying things.

A. price

B. wants

C. discount

D. needs

11. Which is INCORRECT about saving?

A. Saving is storing all of your income for emergencies, unexpected events or items you need.

B. Savings goals are what you want to save for and how much you need to save.

C. You can save at places such as local cooperatives, rural banks, microfinance banks, and credit unions.

D. You can still save even if you have a little money.

12. Which of the following can be considered as unexpected or emergency expense?

A. birthday bash

B. tuition fees

C. medical bill

D. travel or tour

13. What is one advantage of saving money at home?

A. Prone to flood, fire, and stealing

B. No interest to earn and fees to pay

C. How much you saved is immediately known

D. Readily available to buy unnecessary things

14. They offer the widest variety of banking services among financial institutions and yet are currently minor players in the provincial banking market.

A. Commercial and universal banks

B. Thrift and rural banks

C. Rural and cooperative banks

D. Microfinance banks

15. The amount of money that we owe someone.

A. Interest

B. Debt

C. Borrow

D. Liability

16. It is the process of planning what you spend so that it is less than what you earn.

A. Record-keeping

B. Financial planning

C. Budgeting

D. Investment

17. When you are preparing a budget, which of the following you should put under “Expenses”?

A. monthly salary earned

B. cash dividend received

C. interest on loan paid

D. cash gift received

18. What is a “balance”?

A. starting money

B. money  in

C. money  out

D. remaining money

19. They provide smaller loans to smaller organizations and people who earn less.

A. Cooperatives

B. Microfinance institutions

C. Large banks

D. Savings groups

20. It is a traditional Filipino practice of pooling savings funds common among close friends and colleagues with the purpose of saving and making a lump sum for certain financial goals such as bigger purchases at the time of scheduled redemption or payout.

A. 5 – 6 scheme

B. Paluwagan

C. Patak-patak

D. Microfinancing

CORRECT ANSWERS