Saving helps children understand that costly goals require sacrifice.You have to cut costs and plan for the future.Requiring children to save part of their allowances can also open the door to future saving and investing.Many banks offer services to help children and teenagers learn about personal finance.A saving account is an excellent way to learn about the power of compound interest.
Compounding works by paying interest.So,for example,one dollar invested at two percent interest for two years will earn two cents in the first year.The second year,the money will earn two percent of one dollar and two cents,and so on.That may not seem like a lot,but over time it adds up.
1.Parents give their children allowances in order to
.
A.show off their wealth of family
B.let them make more money
C.let them learn the value of money
D.help children manage family finance
答案 C
解析 细节理解题。根据第一段的第一句“Many children first learn the value of money by receiving an allowance (pocket money).”可知,父母给孩子零花钱是为了让孩子认识到金钱的价值。故选C项。
2.What is the second paragraph mainly about?
A.The time to give allowances.
B.The way to spend allowances.
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