Personal Finance for Third Graders: Learn Money Management Basics

Question 1

How can you save money?

Accepted Answer

Put money in a piggy bank or savings account

Answer

Spend all your money right away

Answer

Give all your money to your friends

Answer

Hide your money under your bed

Question 2

What is a good way to save money?

Accepted Answer

Put some money in a savings account.

Answer

Spend all your money as soon as you get it.

Answer

Buy everything you want, even if you can't afford it.

Question 3

Which of the following is a good financial decision?

Accepted Answer

Investing in stocks.

Answer

Buying a house you cannot afford.

Answer

Maxing out your credit cards.

Question 4

What is a budget?

Accepted Answer

A plan for how you will spend your money.

Answer

A list of all the things you want to buy.

Answer

A way to track how much money you have.

Question 5

What is the difference between a need and a want?

Accepted Answer

Needs are things you have to have, while wants are things you would like to have.

Answer

Needs are things you can live without, while wants are things you cannot live without.

Answer

Needs and wants are the same thing.

Question 6

Which of the following is a smart financial goal?

Accepted Answer

Save $100 by the end of the month.

Answer

Become a millionaire by next year.

Answer

Buy a new car as soon as possible.

Question 7

Which of these is not a way to save money?

Accepted Answer

Spending all your money as soon as you get it

Answer

Putting money in a piggy bank

Answer

Opening a savings account

Answer

Asking your parents for an allowance

Question 8

What is the main purpose of a budget?

Accepted Answer

To help you track your income and expenses

Answer

To make you feel rich

Answer

To get your parents to give you more money

Answer

To impress your friends

Question 9

Which of these is a good financial decision?

Accepted Answer

Saving money for the future

Answer

Buying a new toy every time you see one

Answer

Spending more money than you earn

Answer

Borrowing money and not paying it back

Question 10

What is the difference between a want and a need?

Accepted Answer

A need is something you must have, while a want is something you can live without

Answer

A want is something you must have, while a need is something you can live without

Answer

Wants and needs are the same thing

Answer

There is no difference between a want and a need

Question 11

What is the main difference between a debit card and a credit card?

Accepted Answer

A debit card takes money out of your checking account, while a credit card lets you borrow money

Answer

A credit card takes money out of your checking account, while a debit card lets you borrow money

Answer

Debit cards and credit cards are the same thing

Answer

There is no difference between a debit card and a credit card

Question 12

What is a smart way to save money?

Accepted Answer

Put some of your money in a savings account

Answer

Spend all your money on things you want right now

Answer

Get money from your friends

Answer

Use your credit card to buy everything you want

Question 13

What is a budget?

Accepted Answer

A plan that shows how you will use your money

Answer

A list of all the money you have

Answer

A way to get out of debt

Answer

A type of investment

Question 14

What is the difference between a debit card and a credit card?

Accepted Answer

Debit cards take money directly from your bank account, while credit cards allow you to borrow money.

Answer

Credit cards are safer than debit cards.

Answer

Debit cards are only used for online purchases.

Answer

Credit cards are only used for in-store purchases.

Question 15

What is a financial goal?

Accepted Answer

Something you want to save for, like a new toy or a vacation

Answer

Something you want to do, like go to college

Answer

Something you want to buy, like a new bike

Answer

Something you want to invest in, like stocks

Question 16

What is the difference between a need and a want?

Accepted Answer

Needs are things you can't live without, like food and water, while wants are things you can live without, like a new toy.

Answer

Needs are things you want, while wants are things you need.

Answer

Needs are things you buy, while wants are things you don't buy.

Answer

Needs are things you have to have, while wants are things you don't have to have.

Question 17

What is a smart way to use credit?

Accepted Answer

Only borrow what you can afford to pay back

Answer

Use credit to buy things you don't need

Answer

Use credit to pay for emergencies

Answer

Use credit to get out of debt

Question 18

Why is it important to save money?

Accepted Answer

So you have money for unexpected expenses or future goals

Answer

So you can buy everything you want right away

Answer

So you can impress your friends

Answer

So you can avoid getting into debt

Question 19

What is the first step to creating a budget?

Accepted Answer

Tracking your income and expenses

Answer

Setting financial goals

Answer

Cutting back on unnecessary spending

Answer

Finding ways to earn extra money

Question 20

What is the difference between saving and investing?

Accepted Answer

Saving is for short-term goals, while investing is for long-term goals

Answer

Investing is for short-term goals, while saving is for long-term goals

Answer

Saving is for small amounts of money, while investing is for large amounts of money

Answer

Investing is for small amounts of money, while saving is for large amounts of money

Question 21

Which of these is NOT a good way to invest your money?

Accepted Answer

Lottery tickets

Answer

Stocks

Answer

Bonds

Answer

Mutual funds

Question 22

What is the difference between a need and a want?

Accepted Answer

A need is something you cannot live without, while a want is something you would like to have

Answer

A want is something you cannot live without, while a need is something you would like to have

Answer

A need is something that is essential for survival, while a want is something that is not necessary

Answer

A want is something that is essential for survival, while a need is something that is not necessary

Question 23

When creating a budget, what do you do first?

Accepted Answer

Make a list of your income.

Answer

Track how you spend your money.

Answer

Set a goal for how much you want to save.

Answer

Plan how you will spend your money.

Question 24

Which of these is NOT a smart way to save money?

Accepted Answer

Hide money under your bed.

Answer

Put money in a savings account.

Answer

Invest in stocks.

Answer

Put money in a piggy bank.

Question 25

How do you make smart financial decisions?

Accepted Answer

Do your own research.

Answer

Ask your friends.

Answer

Follow a financial advisor's advice.

Answer

Do anything you want.

Question 26

Which of these is NOT a good way to manage your money?

Accepted Answer

Spending all your money as soon as you get it

Answer

Creating a budget

Answer

Saving money regularly

Question 27

What is the first step in setting a financial goal?

Accepted Answer

Figure out how much money you need

Answer

Choose something you really want

Answer

Start saving money right away

Question 28

What does it mean to invest?

Accepted Answer

Using your money to make more money

Answer

Borrowing money from a bank

Answer

Hiding your money under your bed

Question 29

What is the difference between a debit card and a credit card?

Accepted Answer

Debit cards take money directly from your bank account, while credit cards allow you to borrow money.

Answer

Both debit and credit cards allow you to borrow money.

Answer

There is no difference between debit cards and credit cards.

Question 30

What is a checking account?

Accepted Answer

A place to keep your money that you can easily access

Answer

A place to save money for the future

Answer

A type of loan that you can use to buy something

Question 31

What is inflation?

Accepted Answer

When the prices of goods and services increase over time

Answer

When the prices of goods and services decrease over time

Answer

When the value of money increases over time

Question 32

Which type of bank account is the best place to keep money you want to save?

Accepted Answer

Savings account

Answer

Checking account

Answer

Money market account

Answer

Investment account

Question 33

Why do people invest money?

Accepted Answer

To make their money grow over time

Answer

To save money for the future

Answer

To buy things they need right now

Answer

To pay off debt

Question 34

Which of these is a good money goal?

Accepted Answer

Saving for college

Answer

Buying a new video game

Answer

Going on a vacation

Answer

Buying a lottery ticket

Question 35

When making financial decisions, it's important to think about how your choices might affect others. What's an example of a good thing to think about?

Accepted Answer

Choosing to save money instead of spending it all on yourself

Accepted Answer

Donating money to a charity that you believe in

Answer

Borrowing money from a friend without intending to pay it back

Question 36

Which of the following is NOT a good way to save money?

Accepted Answer

Spending it all

Answer

Using it to buy things you need

Answer

Putting it in a savings account

Answer

Investing it wisely

Question 37

What is the difference between a need and a want?

Accepted Answer

A need is something you must have to survive, while a want is something you would like to have but don't need.

Answer

A need is something you buy with money, while a want is something you get for free.

Question 38

What is the purpose of a bank?

Accepted Answer

To keep your money safe and allow you to access it when you need it.

Answer

To make you rich by investing your money

Answer

To give you loans so you can buy things you can't afford

Question 39

Which of the following is a good financial habit?

Accepted Answer

Saving money regularly

Answer

Spending more than you earn

Answer

Borrowing money without paying it back

Answer

Investing in risky ventures

Question 40

What is the difference between a debit card and a credit card?

Accepted Answer

A debit card takes money directly from your bank account, while a credit card allows you to borrow money.

Answer

A debit card is only for children, while a credit card is for adults.

Question 41

What is inflation?

Accepted Answer

A gradual increase in the prices of goods and services over time

Answer

A sudden increase in the prices of goods and services due to a specific event

Answer

A decrease in the prices of goods and services over time

Question 42

Which of the following is **not** a smart way to save money?

Accepted Answer

Spending money on things you need

Answer

Putting money in a savings account

Answer

Setting financial goals

Answer

Earning money by doing chores

Question 43

What is the best way to start creating a budget?

Accepted Answer

Tracking your income and expenses

Answer

Saving money

Answer

Making a budget plan

Answer

Setting financial goals

Question 44

What is the difference between a need and a want?

Accepted Answer

Needs are essential for survival, wants are not.

Answer

Needs are less important than wants.

Answer

Wants are temporary, needs are permanent.

Question 45

Which of the following is **not** a type of investment?

Accepted Answer

Spending money on entertainment

Answer

Investing in stocks

Answer

Buying a house

Answer

Putting money in a savings account

Question 46

What is the purpose of a budget?

Accepted Answer

To help you control your spending and reach your financial goals.

Answer

To show off how much money you have.

Answer

To make your parents happy.

Question 47

Which of the following is a good financial habit?

Accepted Answer

Saving money regularly

Answer

Investing in risky things without understanding them

Answer

Spending more money than you earn

Answer

Borrowing money without paying it back

Question 48

What is a checking account?

Accepted Answer

An account where you can easily deposit and withdraw money.

Answer

An account where you can only save money.

Answer

An account that is just for kids.

Question 49

Why is it important to be financially responsible?

Accepted Answer

It helps you avoid debt, build wealth, and achieve your financial goals.

Answer

It makes your parents happy.

Answer

It helps you stay out of trouble.