SMART Goals
What does each letter in SMART stand for?
Specific, Measurable, Attainable (Achievable), Realistic, Time-bound (Timely)
What is the Net Worth Formula?
Assets - Liabilities = Net Worth
Which of the following factors into a budget: Asset, Liabilities, Income, Expenses
Income & Expenses
True/False: Inflation affects employment, spending, saving, and investing
True
Which of the following is a variable expense?
Car payment, utilities, gas (for car), mortgage payment, streaming services
What is a common pitfall when setting goals?
Making them too vague
What is the lowest your net worth can go?
Technically, it can keep going down indefinitely
What is a budget?
A spending and savings plan based on expected income and expenses
What is deflation?
The decrease in price of goods and services
If you have a really high income, does that mean you also have a high net worth?
No (only assets and liabilities matter for calculating net worth)
What should you do if you're not making progress towards a goal?
Make an adjustment to it
What is listed on a personal net worth statement?
Assets and Liabilities
Santa Clause's weekly take home pay is $5,900. How much of that should they save?
$590
Define inflation
The general rise in prices of goods and services
Which of the following are classified as liabilities? Mortgage, utilities, car payment, student loan, car loan, Netflix subscription, groceries
Mortgage, student loan, car loan
Why should you celebrate small wins when working towards a goal?
To maintain motivation
Calculate LeBron's net worth. Include asset and liability totals:
-$500,000 house
-$100,000 left on his mortgage
-A Mickey Mouse ring worth $20,000
-Annual income of $1 million
-Monthly anti-aging doctor appointments $1,000/each
-A Ford Focus fully paid off worth $15,000
$535,000-$100,000= $435,000
True/False: Your gross income should equal your savings plus expenses
FALSE
What happens to prices during a shortage AND a suprlus?
Shortage: prices will increase
Surplus: prices will decrease
What are the FOUR different types of expenses?
Fixed, variable, intermittent, discretionary
Give an example of a SMART goal
Mr. Breen decides who gets points
Calculate the Net Worth of the Rizzler. Include your asset and liability totals:
-$20,000 in monthly income
-$30,000 loan from Big Justice
-$50,000 in jewels gifted from various world leaders
-67 WWE Championship rings valued at $41/each
-A Private Jet worth $1 million, with a loan balance on it for $850,000
-A $200 monthly Feastables subscription
-$1,000 in monthly royalties from "We Bring the Boom"
$1,052,747 - $880,000 = $172,747
List the percentages of your take home pay you should spend on: savings, rent, car payment
Save: 10%
Rent: 30%
Car Payment: 10%-15%
Draw a complete supply and demand graph
Mr. Breen judges
Calculate the Net Worth for Troy the Trojan. Include your asset and liability totals:
-Cash and checking $700
-Savings Bonds $400
-Furniture $650
-Car, current value $6,875
-Car Loan $3,200
-Credit Card Debt $1,600
$8,625 - $4,800 = $3,825