11Sp FL Decision Making

The decision-making process starts with gathering information.

• True

• False

Procrastination is an example of an economic influence on decision-making.

• True

• False

Higher interest rates result in higher costs of borrowing money.

• True

• False

Rising prices causing lower buying power is referred to as an inflation risk.

• True

• False

Interest earned on savings may be referred to as the “time value of money.”

• True

• False

The final step of the decision-making process is:

• Evaluating the results

• gathering information

• identifying the problem

• selecting the best course of action

Changes in the buying power of a certain currency are measured by

• the unemployment rate

• the money supply

• the consumer price index

• interest rates