This is a quiz to test your understanding after reading through our guide.
2. Which of these is not a warning sign before falling into credit card debt?
a) You are used to charging to your credit limit.
b) Most of your monthly income and/or savings are used to pay your credit card debts.
c) You borrow from your family and friends, or take cash advances to pay your credit card debts.
d) Creditors force you into bankruptcy
3. Which of these is not what you should do when you face the issue of debt management?
a) Start an emergency fund
b) Go seek professional services immediately
c) Save up to pay off your debt later
d) Cut down whenever you spend
4. Which is the equation for simple interest rates?
a) I = PV x i x n
b) FV = PV + I
c) FV = PV (1 + i)
d) ³FV = PV (1 + i)³
5. What is agflation?
a) General decrease of prices
b) Rapid inflation that lead to breakdown of a nation's monetary system
c) An increase in the price of food that occurs caused by an increased demand from human consumption or as an alternative energy resource.
d) Combination of high unemployment and economic stagnation with inflation.