Chapter 1-3 Test

Arranging to spend, save, and invest money to live comfortably, have financial security, and achieve goals is known as:

• Liquidity
• Personal Financial Planning
• Inflation
• Economy

Which of following is an example of a need?

• A smart phone
• Food
• Traveling
• Entertainment

The ability to easily convert financial assets into cash without loss in value is known as:

• Inflation
• Demand
• Liquidity
• Economy

Short term goals typically take how long?

Which of the following is the time frame for an intermediate goal?

• 1 year
• 10 years-15 years
• 2-20 years
• 2-4 years

Which of the following is NOT an example of an intermediate goal?

• Planning for retirement
• Saving for a car
• saving for the down payment on a house
• Building an emergency fund

The amount of goods & services available for sale is known as what?

The amount of goods & services people are willing to buy is known as what?

Is the price that is paid for the use of another's money

• Interest
• Economy
• Supply
• Inflation

The natural abilities that people possess is known as?

• Personality
• Aptitudes
• Characteristics
• Tone