Chapter 7

Question 1

Meaning money is active

Answer 1

Active

Question 2

You must have money in the bank in order to use both of these cards

Answer 2

ATM Card

debit card

Question 3

Another name for cash flow plan

Answer 3

Budget

Question 4

Duplicate checks

Answer 4

Carbon checks

Question 5

A system of money

Answer 5

Currency

Question 6

Being determined to save money

Answer 6

Discipline

Question 7

Envelopes used to divide money into certain categories such as food or clothes so one does not overspend in one category

Answer 7

Envelope system

Question 8

Unsystematic collecting

Answer 8

Hoarding

Question 9

Refusing to give up

Answer 9

Persistent

Question 10

To buy an item without thinking about it

Answer 10

Impulse purchase

Question 11

Taking action yourself rather than waiting for something to happen

Answer 11

Pro active

Question 12

To put off until later

Answer 12

Procrastinates

Question 13

Process used to determine if the balance in your checking registry matches the balance report it on the bank statement

Answer 13

Reconcile

Question 14

When the total of income minus the total of expenses equals zero

Answer 14

Zero based budget

Question 15

Form used to do a budget

Answer 15

Monthly cash flow form

Question 16

Form used by persons earning an inconsistent monthly income

Answer 16

Irregular income form

Question 17

Helps people who forget to record checks in the register after writing them

Answer 17

Duplicate checks

Question 18

You need to do a zero based budget T/F

Answer 18

True

Question 19

You will pay interest on debit card purchases T/F

Answer 19

False

Question 20

A budget will be the same each and every month T/f

Answer 20

False

Question 21

You need to reconcile your bank statement within 72 hours of receiving it T/F

Answer 21

True

Question 22

People who don’t earn a consistent salary monthly, do not have to do a budget T/F

Answer 22

False

Question 23

Bounced checks are a sign of _____ living

Answer 23

Crisis

Question 24

A written budget should be done every____

Answer 24

Month

Question 25

Your monthly budget should include....

Answer 25

Fixed expenses variable expenses money to blow

Question 26

What would account for a difference in balances in your checkbook registry and bank statement after reconciling the two

Answer 26

An error Check that didn’t clear Deposits that did not post

Question 27

Doing a budget does not lead to....

Answer 27

An increase in arguments

Question 28

Explain how to complete a zero based budget

Answer 28

Write down the money that should be spent that month and it should equal zero

Question 29

What are some reasons by the balance in your checkbook registry might not match the balance on your bank statement

Answer 29

You may have made a mistake in recording

Question 30

Why do you need a written budget even when you know you can afford your expenses

Answer 30

You may overspend without a budget

Question 31

How does a budget different when you have an a regular income versus a predictable income

Answer 31

You should prioritize by importance on the budget

Question 32

How can I budget help you when you are working on baby step 2

Answer 32

Money to pay off certain debts