What you are about to read is an unconventional Financial Intelligence Quotient Test. It is a one-question test instrument that reveals how financially-savvy you are. But before we dive into it, what’s financial IQ?
The financial intelligence quotient is a measure of how well you do with money. Having a high financial IQ doesn’t mean that your investments outperform the market or predict you’ll retire a millionaire. Rather it means you handle money responsibly. You make smart money decisions and spend and save according to a plan.
Now that you know, let’s get into it. We’ll start with a story that happened. Pay attention…
It was a sunny Monday morning and it was time to log on for our team’s Monday meeting. The day’s agenda: Coursera courses that were yet to be completed… again.
From the beginning, we knew it was going to be a mouthful. Feyi insisted on waiting a bit longer as Mo was yet to join the meeting. Minutes later, Mo joined. She apologized for joining in late and explained why she was late.
She had gone to grab stuff at a store nearby but was held up. She said she was glad she went at the time because she got a discount and, therefore, saved some money.
“You got a discount and you saved some money. You mean you went to the bank after shopping?” Damilola asked.
“No, I spent less than I would have,” Mo replied
“Okay, how does that translate into saving more money?” Damilola asked again.
Mo was a bit confused. She thought her point was clear enough. The rest of the team had begun to weigh in. Most of the team also thought Mo’s point was clear enough.
“If a commodity normally sells for N5,000 and you bought it for N4,500, you haven’t saved more – in this case N500. You’ve only spent less. You’ve spent N500 less,” Damilola explained.
At that point, a few of us were beginning to see her point, but most others didn’t. And it spiked an argument – a very long one. As you read this, we haven’t reached a consensus.
Now, your one-question Financial IQ test: Did Mo save more by enjoying a discount or she spent less? Drop your answers in the comments below.
By the way, if you are up for some real savings this year, ALAT is running a Savings Challenge you might want to join.
That’s it for this weekend. Oh, and don’t forget to be kind this weekend. You can start by spreading the news. Share this with a friend. Friends don’t let friends miss out on stuff like this. We’ll see you next week.