Money Management

Vehicle and other major purchases are also known as?

• Capital expenditures

• Minor expenses

• Operational costs

• Routine purchases

What are 'Big Ticket Items'?

• Products with a low selling price

• Products that have a high selling price and are sometimes called durable goods

• Products that are always on sale

• Products that are perishable

What is the first step in planned buying?

• Identifying the need

• Researching options

• Setting a budget

• Making a purchase

Why is pre-shopping research important in planned buying?

• It helps in making informed decisions.

• It increases impulse buying.

• It reduces the need for budgeting.

• It limits the choices available.

Fitting your budget can affect your buying decisions by:

• Allowing you to purchase more expensive items

• Limiting your choices to affordable options

• Encouraging impulsive buying

• Increasing your overall spending

What is the role of comparison shopping in planned buying?

• To increase impulse buying

• To find the best deals and prices

• To avoid making any purchases

• To support local businesses

Negotiating plays a part in planned buying by:

• Reducing the overall cost of the purchase

• Increasing the time spent on decision making

• Complicating the buying process

• Eliminating the need for a budget

Which of the following factors should be considered when making the decision in planned buying?

• Budget and financial constraints

• Brand loyalty

• Peer pressure

• Impulse buying

Evaluating is an important step in planned buying because it helps to:

• Ensure the best value for money

• Increase impulse buying

• Reduce the need for budgeting

• Eliminate the need for research

MSRP stands for which of the following and what does it represent?

• Manufacturer's Suggested Retail Price, representing the recommended selling price of a product

• Market Standard Retail Price, representing the average market price of a product

• Maximum Suggested Retail Price, representing the highest price a product can be sold for

• Minimum Standard Retail Price, representing the lowest price a product can be sold for