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1. What is gross monthly pay?

a) The monthly pay after taxes are deducted.

b) The monthly pay before taxes and insurance are deducted.

c) The hourly pay times 2080.

2. What is net monthly pay?

a) Weekly pay times 4.

b) If you get paid twice a month, it is the pay from 2 checks.

c) Monthly pay after taxes and insurance are deducted.

3. When you are figuring your monthly budget which figure should you start with, net monthly pay or gross monthly pay.

a) Net monthly pay.

b) Gross monthly pay.

True or False

4. One additional source of income is the balance available on credit cards.

True False

5. If you can’t save at least $50 per month there is just no point in bothering to save at all.

True False

6. Saving money on things like groceries is part of home economics, but not economic literacy.

True False

7. The best time to shop for groceries is on your way home from work right after you pick up your children from day care. Let them help put the groceries in the cart.

True False

8. If you have a history of paying your bills on time a lender won’t be concerned about how much money you are making.

True False

9. How much of your gross monthly income should you spend for housing?

a) 50%

b) one third

c) 15%

d) 29%

10. It does not matter when you shop for groceries as long as everything you buy is on sale.

True False