Budgeting Quiz

Which of the following is the most accurate description of budgeting?
1. Buying things for the lowest price on the market
2. Working out how much money is available for a purpose
3. Moving money between accounts
4. Borrowing money at a low interest rate
In the language of budgeting, what is ‘expenditure’?
1. How much money you have paid out over a certain period of time
2. How much money you earn over a month
3. All the interest you will earn over a year on a savings account
Which of the following would NOT belong to the regular expenditure of a family?
1. Rent payments
2. Internet bills
3. Cost of a washing machine
4. Utility bills (gas, electricity, water etc.)
You earn £1,000 per month. Your rent costs £400, food £100 and transport £100 per month. If you also spend £75 each month for clothing, £100 on eating out and £125 for everything else, how long will it take you to save £400 for a bicycle?
1. 1 month
2. 2 months
3. 4 months
4. 6 months
Which area of your budget would mortgage payments come under?
1. Variable expenses
2. Fixed expenses
3. Luxuries
Which of the following is not a good way to stay on budget?
1. Delay paying off the debt on your credit card
2. Make a grocery list before you go shopping
3. Use cash, when you can pay by a credit card
How would you calculate your disposable income (the money you can spend)?
1. Subtract your expenditure from your income
2. Sum your income and expenditure
3. Divide your income by your expenditure
4. Add your income and expenditure
How would you work out your monthly expenditure from weekly costs?
1. Multiply by 52 and divide by 10
2. Multiply by 12 and divide by 52
3. Divide by 52 and multiply by 12
4. Multiply by 52 and divide by 12