You go to the supermarket and see something very pricey that you would like to buy but can’t afford. What do you do?

Plan to save for a couple of weeks then buy it

How Financially Literate Are You?

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| Written by Egbueze Chuka

Egbueze Chuka

Community Contributor

Quizzes Created: 1 | Total Attempts: 65

Questions: 10 | Attempts: 65 | Updated: Mar 21, 2022

How Financially Literate Are You? - Quiz

Children pick up money habits from their parents.
70% of parents are financially illiterate.
How financially literate are you?
Take this quiz to find out.

Questions and Answers

1.

Do you have a budget?
- A.
  
  Yes
- B.
  
  No
2.

How much of your salary/ income do you save?
- A.
  
  Less than 10%
- B.
  
  10 - 20%
- C.
  
  20 - 30%
- D.
  
  Above 30%
- E.
  
  I have not really been saving
3.

If you were given 1 million naira to invest, what will you invest in?
- A.
  
  One thing
- B.
  
  More than one thing
- C.
  
  None
4.

Does your family keep records of income and expenditures?
- A.
  
  Yes
- B.
  
  Not really
- C.
  
  Sometimes
5.

If there is a shortage in income, how will you manage to make ends meet?
- A.
  
  Spend from your savings
- B.
  
  Cut down on your expenses
- C.
  
  Borrow from a reliable source
6.

Suppose you deposit N100,000 in a savings account paying 10% interest, compounded annually. If you do not remove any money. How much money will you have in the account after 3 years?
- A.
  
  N140,000
- B.
  
  N130,000
- C.
  
  N150,000
7.

You go to the supermarket and see something very pricey that you would like to buy but can’t afford. What do you do?
- A.
  
  Plan to save for a couple of weeks then buy it
- B.
  
  Spend from your savings
- C.
  
  Borrow money from your friend
8.

Imagine that the interest rate on your savings account is 1 percent a year and inflation is 2 percent a year. After one year, would the money in the account buy more than it does today, exactly the same or less than today?
- A.
  
  More
- B.
  
  Same
- C.
  
  Less
- D.
  
  Don't know
9.

Suppose you owe N 100,000 on a loan and the interest rate you are charged is 20% per year compounded annually. If you didn't pay anything off, at this interest rate, how many years would it take for the amount you owe to double?
- A.
  
  10 years or more
- B.
  
  Less than 2 years
- C.
  
  2 - 4 years
- D.
  
  5 - 9 years
10.

A 15-year mortgage typically requires higher monthly payments than a 30-year mortgage but the total interest over the life of the loan will be less.
- A.
  
  True
- B.
  
  False

How Financially Literate Are You?

Do you have a budget?

How much of your salary/ income do you save?

If you were given 1 million naira to invest, what will you invest in?

Does your family keep records of income and expenditures?

If there is a shortage in income, how will you manage to make ends meet?

Suppose you deposit N100,000 in a savings account paying 10% interest, compounded annually. If you do not remove any money. How much money will you have in the account after 3 years?

You go to the supermarket and see something very pricey that you would like to buy but can’t afford. What do you do?

Imagine that the interest rate on your savings account is 1 percent a year and inflation is 2 percent a year. After one year, would the money in the account buy more than it does today, exactly the same or less than today?

Suppose you owe N 100,000 on a loan and the interest rate you are charged is 20% per year compounded annually. If you didn't pay anything off, at this interest rate, how many years would it take for the amount you owe to double?

A 15-year mortgage typically requires higher monthly payments than a 30-year mortgage but the total interest over the life of the loan will be less.