Finance Basics
Finance helps people reach their what?
Goals
Saving means putting money away for when?
The future
A budget is a plan for your what?
Money
What do you buy in the stock market?
Stocks
Buying without thinking is called what?
Impulse buying
Finance is not just for people, but also for what?
Businesses
Spending is using money to buy things you need or want when?
Now
Budgeting helps you control your money instead of your money controlling what?
You
Stocks are tiny pieces of what?
Companies
Credit means you pay now or later?
Later
Finance is how people manage what?
Money
Give one real-life example of saving and one of spending.
Saving for a phone; spending money on food or clothes
If you earn $200, save 25%, and invest 35%, how much can you spend?
Save $50, invest $70, spend $80
Why does compound interest work better the longer you invest?
Because gains also start earning gains.
Why do ads and influencers make impulse buying worse?
They peer pressure people using marketing tactics.
Name all four parts of finance from the slideshow.
Earning, saving, spending, investing
If you only spend and never save or invest, what problem could you face later?
No money for emergencies, goals, or future needs.
Why is not having a budget almost the same as guessing with your money?
You don’t know where it goes or if you’ll reach goals.
Why is starting to invest at 15 better than starting at 30, even with less money?
More time for compound growth.
If you owe $900 and pay $75 per month, how many months until it’s gone?
12 months
Why is finance important for reaching goals?
Because it helps you plan how to earn, save, spend, and invest money wisely instead of randomly.
Why does investing help more than just saving over a long time?
Because investing lets your money grow through compound interest.
Explain how budgeting can protect you in an emergency.
You’ll have savings and won’t panic or go into debt.
If you invest $100 and it grows to $110, then grows 10% again, why do you earn more than $10 the second time?
Because you’re earning on $110, not just $100.
Why can debt be more dangerous than just losing money once?
Because it keeps following you until fully paid and can grow with fees.