Grade 7 Pre-technical – Financial goals Quiz
1. What is a financial goal for a young entrepreneur in Kenya?
A financial goal is a clear target about money—what you want to save, spend or invest and when. It involves planning and helps entrepreneurs manage resources.
2. Which of these is an example of a short-term financial goal for a 12-year-old selling sweets at school?
Short-term goals are those you plan to reach soon (weeks or months). Saving KES 1,000 in two months is a realistic short-term goal for a school vendor.
3. What does SMART mean when setting financial goals?
SMART is a method for clear goals: Specific (clear), Measurable (can track), Achievable (realistic), Relevant (matters to you), Time-bound (has deadline).
4. Which goal is an example of a long-term financial goal for a young Kenyan entrepreneur?
Long-term goals take years to reach. Saving KES 50,000 over five years is a long-term, planned objective to grow a business.
5. Why is it important to set financial goals for a school business like selling mandazi?
Financial goals guide saving and investment decisions, helping the business grow. They do not remove risks or replace good management.
6. Which of the following is a measurable financial goal?
A measurable goal uses numbers and time so progress can be tracked—here profit and timeframe are specified.
7. If you want to buy a school bag costing KES 1,200 and you save KES 100 every week, how many weeks to reach the goal?
KES 1,200 ÷ KES 100 per week = 12 weeks. This shows how planning helps reach a financial goal.
8. Which action shows good progress towards a financial goal for a group savings (chama) at school?
Clear records show who contributed and how close the group is to its goal, which helps reach the target together.
9. Which is the best way to make a financial goal achievable for a 12-year-old?
An achievable goal matches what you can realistically save given your income and time, making success likely.
10. Which of these is a mid-term financial goal?
Mid-term goals take months to a few years. Saving KES 10,000 in a year is realistic and time-bound.
11. What is opportunity cost when choosing a financial goal?
Opportunity cost is what you sacrifice (something else you could have done) when you allocate money or time to a goal.
12. Why should entrepreneurs keep track of their income and expenses when working toward a financial goal?
Tracking income and expenses shows whether you are meeting your saving targets and lets you change actions to reach goals.
13. Which choice is a realistic way to achieve a financial goal of buying school books costing KES 2,400 in 6 months?
Combining steady saving and small extra earnings helps reach the target within the time set.
14. Which is NOT a characteristic of a good financial goal?
A good goal should be specific, measurable, realistic and time-bound; being vague prevents tracking and achievement.
15. How can using a bank account or M-Pesa help achieve a financial goal in Kenya?
Bank accounts and M-Pesa store money safely and provide simple records so you can see progress toward your goal.
16. If your business earns KES 500 profit per week and your goal is to save KES 6,000, how many weeks will it take if you save all profit?
KES 6,000 ÷ KES 500 per week = 12 weeks. Saving all profit reaches the goal in that time.
17. Why should financial goals be relevant to your personal or business needs?
Relevant goals matter to your situation; they help you focus efforts on what will actually improve your life or business.
18. Which is a good way to review your financial goals?
Regular reviews let you see if you are on track and adjust the plan when circumstances change.
19. What should you do first when setting a financial goal to start a small stall selling fruits?
Estimating costs and income and setting a timeframe makes the goal realistic and shows how much to save or borrow.
20. Which choice describes a financial goal that is too risky for a beginner entrepreneur?
Borrowing a lot without a repayment plan is risky. Beginners should start small and plan carefully to avoid debt.
21. How can setting a reward help achieve a savings financial goal?
A planned small reward can encourage consistent saving and celebrate milestones without harming the goal.
22. Which of the following is an example of reinvesting profits in a small business?
Reinvesting means putting profit back into the business (e.g., buying more stock) to help it grow.
23. What is an emergency fund and why is it useful for a young entrepreneur?
An emergency fund covers surprises (e.g., broken stall umbrella) and protects your savings and goals.
24. Which of these shows a measurable way to lower spending to meet a saving goal?
This gives a clear action and amount saved each week, which directly helps reach the saving goal.
25. When planning a financial goal, why is it helpful to set smaller milestones?
Smaller milestones break a big goal into steps, providing motivation and clear checkpoints to measure progress.
26. Which statement best shows a realistic saving plan for a school project costing KES 3,000 in 10 weeks?
KES 3,000 ÷ 10 weeks = KES 300 per week. Adding extra sales gives flexibility, making the plan achievable.