Future Business Leaders of America (FBLA) Personal Finance Practice Test

What is the purpose of a living will?

1. To outline your financial wishes after death

2. To state whether you want to be kept alive by artificial means

3. To designate beneficiaries for your assets

4. To express your last wishes regarding funeral arrangements

The correct answer is: To state whether you want to be kept alive by artificial means

A living will serves a critical purpose in the realm of personal finance and healthcare. It is a legal document that allows individuals to articulate their preferences regarding medical treatment in situations where they may become unable to communicate their wishes due to illness or incapacitation. This includes decisions about being kept alive by artificial means, such as life support. By specifying whether or not one wishes to be resuscitated or kept alive through artificial interventions, a living will ensures that medical professionals and family members are aware of and can honor these preferences. This is particularly important in critical health situations, where timely decisions often need to be made. Having a living will helps reduce confusion and conflict among family members during emotionally challenging times, as they have clear directives to follow based on the individual's stated wishes. Unlike other documents that deal with financial matters or distributions of assets after passing away, the living will directly addresses medical decisions, making it a unique and essential aspect of personal planning.