Budgeting

Question 1

Unit Price and how to find it?

Answer 1

Unit price is the cost of one unit of something.
Can be found by: dividing total price by number of units

Question 2

Fixed Cost

Answer 2

A cost that stays the same and will always exist

Question 3

Varible Cost

Answer 3

A cost that changes and might happen regulary.

Question 4

Zero-Based Budgeting

Answer 4

EVERY single dollar gets an assigned category so that nothing is leftover.

Question 5

Cash Envelope System

Answer 5

Money is physically assigned into each envelope which serves as a category.

Question 6

50/30/20

Answer 6

Needs 50, Wants 30, Savings 20

Question 7

Noodle Budget

Answer 7

The LOWEST you can spend to maintain life.
It’s like your bare-bones budget that only includes necessities

Question 8

Gross Pay

Answer 8

Pay w/ taxes
Pay that you DON’T keep everything

Question 9

Net Pay

Answer 9

Pay after taxes are taken OUT
What you get to KEEP

Question 10

Pay the pot

Answer 10

Spending on NEEDS FIRST

Question 11

Wealth

Answer 11

Wealth = assets (money they have) minus debt

Question 12

House Burdened

Answer 12

If housing costs are at least 30% of income (NOT 30% of living)