Financial Attitudes and Behaviors
____________ specifies that 80% of consequences come from 20% of the causes, asserting an unequal relationship between inputs and outputs.
The Pareto Principle
Weighing the pros and cons of a decision before you make it.
Cost Benefit Analysis
A financial institution owned by its customers.
Credit Union
A business owned by one person who may or may not hire employees.
Sole Proprietorship
This type of card charges you interest on borrowed money.
Credit Card
One of the 4 subsets of influences for decision-making that defines its value on how we see ourselves and how we want others to perceive us.
Inner Values
$0.095 per ounce
How long does it take to double $3,000 with a 2% yearly interest rate?
36 years
The economic value of the abilities and qualities of labor that influence productivity.
Human Capital
The process of combining debts into one loan or repayment plan.
Debt Consolidation
Example: An add for a table has the original price crossed out next to the sale price.
Anchoring Effect
Social security number, address, Date of Birth, Card/Banking information, are all examples of this.
Sensitive Information
A charity fund receives a $50 donation the first month, and $20 every subsequent month. How much money will the charity have by the end of the 7th month?
$170
a7 = 50 + (7-1)(20) = 50 +(6)(20) = 50 + 120
Problem solving is an example of this.
Soft Skill
Applying for a car loan will result on a ___________ on your credit.
Hard Check
Easy access, isolated playing, unlimited playtime, seemingly unlimited money, unregulated websites, and cybersecurity issues are all a danger of this.
Online Gambling
This payment method has the con of not keeping a record of spending.
Cash
What is your balance after 4 years if you deposit $5,000 into a savings account with 12.5% simple yearly interest?
$7,500
This should be listed most recent first (backwards chronological order) in a resume.
Experience and/or Education
Emma's balance before her $50 minimum payment was $457.00. What is her new balance?
$407.00
Never eating sushi after a bad case of gas-station sushi food poisoning is an example of this.
Heuristics.
You can use this to evaluate qualitative information about your options in a quantitative way.
PACED Method
What is the interest added to your balance after 9 months if you deposit $3,000 into a savings account with 5% interest compounded quarterly?
$113.91
The most common wrong answer in an interview to the question "Why do you want this job?"
To earn money.
Emma's current balance is $600. Her monthly interest rate is 20% and minimum payment is $25. Assuming she only pays the minimum payment each month, what will be her balance in 4 months?
$1,109.96