Financial Decision-Making

If you have limited means, you _____.

• have too much money

• spend too much money

• save enough money

• can’t have everything

When you must give something up in order to get something else, it is called _____.

• a sound investment

• an opportunity cost

• a lost opportunity

• a limited means

Why do you need to use decision making skills if you have limited means?

• Since you are not able to have everything, you must decide what you really need.

• Making decisions is possible when you can have everything.

• You have a limited number of decisions.

• You have too much money which makes decision making hard.

An opportunity cost can make decision making difficult because _____.

• you must choose to give up some things in order to get other things

• the costs might be extremely high

• it’s hard to make decisions about opportunities

• you may only get that opportunity once

Before you buy something you want, you should buy _____.

• something that is cheap

• something you need

• something expensive

• something on sale

Food, water, shelter and clothing are examples of _____.

• limited means

• wants

• needs

• opportunities

If you have limited means you may need to prioritize. This could mean crossing video games off your shopping list and replacing them with _____.

• groceries

• movie tickets

• designer jeans

• new sneakers

Setting a goal lets you _____.

• achieve nothing

• forget next steps

• achieve what you want to do

• spend more money

When you have a goal, you can _____.

• plan out steps to achieve it

• avoid bad decisions

• buy more of what you want

• buy more of what you need

Which of these will not help you achieve a goal?

• Setting the goal

• Hoping you meet it

• Planning out steps to meet it

• Prioritizing decision