Personal Finance Chapter 1 (Newest)

The amount of your liablilities is larger than the value of your assets.

• asset

• positive net worth

• negative net worth

• net income

Having the knowledge and skills to manage your personal finances.

• interest

• asset

• personal finance

• financial literacy

The _________ makes choices about what they buy and use.

• credit

• customer

• expense

• liability

A(n)_______ is anything you own that has value.

• interest

• consumer

• asset

• net

Making the right choices with your money- managing your money - involves knowing how...

• Planning, saving, spending, and investing will define your financial portfolio.

• To make bank deposits using registers with the appropriate transactions listed.

• Consumer decisions will affect your accounts.

• Earning, budgeting, saving, spending, and giving affect your money.

Banks got into the credit business before 1920 because charging exceptionally high interest rates was legal.

• True

• False

You should always make sure you have a _______________.

To gain an understanding of your personal finances, you should know...

• Your financial goal.

• Where you stand financially, how much income you have, what goals you want to set, and how you'll reach those goals.

• How much income you have.

• Your investment portfolio and your financial advisors' contact information.

What is The First Foundation?

• Pay cash for college.

• Build wealth and give.

• Save a $500 emergency fund.

• Open a checking account.

Being a spender has many more positives than being a saver.

• True

• False