Vocabulary
Protects an individual from financial losses and is described in a written document. There are several types.
Insurance
You get the same benefits with a chequing and a savings account
FALSE!
What are the two types of financial goals?
Long-term and short term goals
What is the formula for Simple Interest?
SI=PRT
Calculating how much money you earn or save during a particular period and planning how you will spend it.
Budgeting
Exchange rates can fluctuate daily
TRUE
What does Financial Planning look at?
where we are, and where we want to go
What do the following letters stand for in the formula for interest? SI=PRT
SI - P: Principal
R: Rate
T: Time
a system of money in general use in a particular country
Currency
A short-term goal is typically within 2 years
FALSE
What is a savings account?
used to hold the money you don't plan to spend immediately.
Find the Simple Interest: P: $5,000. R: 5% T: 4 Years
$1000
The Equation for Simple Interest is SI = PRY
FALSE
Why is it important to make a budget?
A budget helps plan your spending.
What is the Simple Interest for:
P: $2,400 R: 6% T: 20 Years
$2,880.00
a spending account that you can use every day to pay bills or for day-to-day purchases
Chequing Account
The "Principal" in Simple Interest is the starting amount of money.
TRUE
What is the exchange rate?
the value of a country's currency in terms of another country's currency
Paula borrowed $10,000, at an interest of 4% yearly. What is the simple interest?
$400.00