ML FBLA Financial Literacy - Decision Making

What is the first step in the decision-making process?

• Consider the consequences

• Identify the problem or decision

• Choose an option

• Evaluate alternatives

What does it mean to make an informed decision?

• Making a decision quickly

• Making a decision without any help

• Making a decision based on facts and information

• Making a decision based on feelings only

Which of the following is an example of a short-term decision?

• Deciding which college to attend

• Choosing which movie to watch tonight

• Deciding which career to pursue

• Buying a house

What is an opportunity cost?

• The benefit of the decision made

• The money you save when making a decision

• The cost of the decision, including what you give up

• The amount of money you earn from a decision

Which of these would be a good example of a long-term decision?

• Choosing what to eat for dinner

• Deciding what to wear today

• Choosing a high school

• Deciding which video game to buy

When considering alternatives in decision making, what is an important factor to keep in mind?

• The easiest option

• The most expensive option

• The pros and cons of each choice

• The option your friends choose

If you decide to spend your allowance on a new video game, what is the opportunity cost?

• The money you spent

• The video game

• The other things you could have bought instead

• The amount of time you spend playing the game

What is the purpose of evaluating the results of a decision?

• To make sure you like the decision

• To see if the decision meets your goals

• To decide if you should have made a different choice

• To punish yourself for making a mistake

When faced with a decision, why is it helpful to gather information first?

• To make the decision more difficult

• To avoid making a decision

• To better understand your options and make a more informed choice

• To impress others with your knowledge

Which of the following is a common challenge when making decisions?

• Having too much information

• Not having enough time to decide

• Knowing exactly what you want

• All of the above