Personal Finance Chapter 1

The acronym SMART stands for what when it comes to creating goals?

• Special, Measurable, Attainable, Realistic, True

• Static, Measurable, Achievable, Results-focused, True

• Specific, Measurable, Achievable, Results-focused, Time-Bound

• Specific, Measurable, Achievable, Realistic, Time-Bound

This is a goal you expect to achieve in the near future.

• medium-term

• short-term

• intermediate-term

• long-term

What factor determines your priorities in life and is usually influenced by family and friends, society, ethics, and life experiences?

• goals

• consumption

• values

• scarcity

This person examines and prepares financial records for individuals and businesses.

• analyst

• advisor

• administrator

• accountant

This term is used to describe the level of wealth, material goods considered essential by an individual or group in an area.

• consumption

• economics

• scarcity

• standard of living

Something that is essential to life is called a _____.

• need

• want

• value

• economics

This is something you wish to have, but is not needed to live.

• value

• need

• want

• goal

The understanding that we have unlimited wants and limited resources.

• consumption

• scarcity

• economics

• economy

Why should we periodically review financial goals?

• they may no longer be relevant

• your ambitions have evolved

• you move into a new stage of your life

• all of these

How does setting financial goals affect your personal financial planning?

• all of these

• helps you work toward a target

• helps you become financially stable

• will help you achieve financial freedom