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This test consists of 15 multiple choice questions and 5 short answer questions.

Multiple Choice Questions

1. What should people be willing to do?
(a) Sacrifice family time for more income.
(b) Work more than 40 hours per week.
(c) Sacrifice income for a job that matches a passion.
(d) Work for what they want.

2. Where should monthly investment income be tracked?
(a) On reports from investment brokers.
(b) On a new chart.
(c) On the income and expense charts created in Chapters 2 and 3.
(d) On the wall chart.

3. People should have enough savings to cover expenses for how long?
(a) Four months.
(b) Six months.
(c) One year.
(d) Nine months.

4. What should people do about unusual extra expenses, such as medical bills or birthday parties?
(a) Avoid them whenever possible.
(b) Create an extra chart to track them.
(c) Accept them as a normal part of financial life.
(d) Categorize them as "gazingus pins."

5. What is the true definition of work?
(a) Anything that is not enjoyable.
(b) Full-time employment.
(c) Life energy spent.
(d) It varies depending on who is defining it.

6. What is one advantage of estimating the likely timing of the crossover point?
(a) People retire early.
(b) People spend less.
(c) People tend to leave their current job for a more enjoyable one.
(d) People may become more eager about going to work and doing a good job.

7. What should retired people do with their excess monthly income?
(a) Reinvest it or use it to do new projects.
(b) Use it to buy life energy.
(c) Help other family members reach the crossover point.
(d) Determing a new crossover point.

8. What is the main purpose of the wall chart?
(a) Keep finances on the person's mind, to help them make more conscious choices when spending money.
(b) To replace the monthly chart created previously.
(c) To define commitment to the program.
(d) To define values and purpose.

9. What are some good alternatives to buying what is needed?
(a) Borrowing, trading, and sharing.
(b) Sharing, trading, and stealing.
(c) Begging, stealing, and borrowing.
(d) Trading, sharing, and retiring.

10. What do the authors warn job-hunters to avoid?
(a) Spending a lot of money on schemes to find the perfect job.
(b) Taking a job too closely connected to a hobby or passion.
(c) Taking the first offer that comes along.
(d) Taking a job that requires relocation.

11. In the 101 SURE WAYS TO SAVE MONEY section, what do the authors advise people to do in order to save on housing?
(a) Avoid non-traditional housing.
(b) Consider non-traditional housing.
(c) Buy a larger home as a hedge against inflation.
(d) Buy and manage multiple rental properties.

12. If "work" is different from "paid employment," then which of the following is true?
(a) Work includes anything people do to provide a service, including cleaning the house.
(b) Retirement is the absence of work.
(c) Cleaning is only work when it's done by a paid professional.
(d) Volunteer jobs are not work.

13. Monthly investment income is calculated by determining current excess money each month, then doing what?
(a) Multiplying it by the current short-term interest rate for U.S. Treasury bonds, then dividing by 12.
(b) Multiplying it by the current short-term interest rate for U.S. Treasury bonds, then multiplying by 12.
(c) Multiplying it by the current long-term interest rate for U.S. Treasury bonds, then multiplying by 12.
(d) Multiplying it by the current long-term interest rate for U.S. Treasury bonds, then dividing by 12.

14. What are 1,001 SURE WAYS TO SAVE MONEY?
(a) A list of strategies to achieve early retirement.
(b) A list of contacts for business networking.
(c) Participants should look at their own expense lists and make their own list of ways to save.
(d) A list of coupon resources.

15. What can cause some people to stop buying any extras at all, after starting to use the wall chart?
(a) Running out of room on the wall chart.
(b) Shock at their spending habits.
(c) Desire to change thier life purpose.
(d) Shock over actual income.

Short Answer Questions

1. Why should people try not to turn their job into an identity?

2. What usually happens after a person retires from their job?

3. What should people do as soon as possible?

4. Being financially independent requires what?

5. Statistically, how many Americans are overweight?

(see the answer keys)

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