Personal Finance

What is personal finance?

•  a budget
•  income and expenses
•  savings account
• all of the above

What is a budget?

• a plan for balancing your income and spending
• money earned
• something you need in order to survive
• something you do not need in order to survive

What is income?

• a resource necessary to survive
• a balance of your income and spending
• money earned

What are services?

• money earned
• forms of work people do for others
• products people buy and sell

What are goods?

• products people buy and sell
• money earned
• resources necessary to survive

What is an expense?

• resources not necessary to survive
• resources necessary to survive
• money used on needs and wants

What is a need?

• any resource unnecessary to survive
• any resource necessary to survive
• a plan for balancing income and expenses

What is a want?

• any resource necessary for you to survive
• any resource unnecessary in order to survive 
• money earned

What is an opportunity cost?

• giving up something, to do what you need the most
• money earned
• resources needed in order to survive

What is a fixed expense?

• an expense whose price will change over time
• an expense whose price will not change over time
• money earned