Making Financial Decisions
What is the process of managing your money to achieve personal financial goals called?
What is personal financial planning?
What is Measurable?
What is opportunity cost?
What is what you give up when making a choice?
What is the first step in the financial planning process?
What is to determine your current financial situation?
What is the cost of borrowing money known as?
What is the interest rate?
Provide an example of a short-term financial goal using the SMART criteria.
What is saving $1,000 for a vacation within 6 months?
If you choose to spend $50 on a concert ticket, what might be an opportunity cost?
What is the money you could have saved or spent on something else?
What should you consider when evaluating financial alternatives?
What are life situations, personal values, and current economic conditions?
What is the method to estimate how long it takes for an investment to double based on its interest rate?
What is the time frame for a long-term goal?
What is more than 5 years?
If you have $500 at 6% interest, how long will it take to double your money?
What is 12 years (72/6)?
Why is it important to review and revise your financial plan?
What is because personal and economic factors can change?
What is the term for when prices of everyday goods are rising, reducing the amount you can buy with the same amount of money?
Which of the following is a SMART goal: "I want to save money" or "I will save $100 a month for an emergency fund"?
What is "I will save $100 a month for an emergency fund"?
Why is $100 today worth more than $100 one year from now?
What is because you can invest it today to earn interest?
Describe one financial goal for a student in 10th grade.
What is saving for a car or college in the future?
What is by providing control over money and reducing debt?
What should you do first when developing financial goals?
What is identify specific, realistic goals that are measurable?
What is compounding in the context of the time value of money?
What is earning interest on previously earned interest?
What are two key factors to consider when creating your financial action plan?
What are your income level and current expenses?