Creating a Budget
What is a fixed cost?
Costs that are expected (ex. monthly bills)
What is interest?
The price/cost of borrowing
What is the first rule of investing?
Always invest for the long term
What is the basic question of economics?
How we meet our unlimited wants with our limited resources.
In what year did Mr. Hoyt graduate high school?
2016
What are the parts of a SMART goal?
Specific, Measurable, Attainable, Relevant, Timely
What is simple interest?
Interest that only counts the original investment
What is the second rule of investing?
Only invest what you can afford to lose
What is the law of demand?
As price increases, demand decreases
In what year did William the Conqueror invade England?
1066
What is step 2 for budgeting?
Estimate your income
What is compound interest?
Interest that includes previous interest earned
What is the third rule of investing?
7% is the number to beat the stock market
What does it mean for a good to be elastic?
It will experience a large change in quantity due to a change in price
In what year did Kansas become the 34th state?
1861
What is the time frame for a medium term goal?
1 - 2 years
If you are given the choice between compound interest and simple interest on a loan that you are taking, which would be better for you in the long term?
Simple interest
What does S&P 500 stand for?
Standard and Poor's 500 Index
What is the most efficient price for a good?
In what year was the lightbulb invented by Thomas Eddison?
1879
Which type of cost is the easiest place to cut back when creating a budget?
Discretionary Costs
What does compound interest need in order to be powerful?
Time
Which will be a better long term investment, a volatile stock or a stock that is growing slowly?
The stock that is growing slowly
What would a natural disaster cause on the supply curve?
A left shift
In what year did Robert the Bruce defeat the English army at Bannockburn, securing the independence of the kingdom of Scotland?
1314