The difference between wants and needs is:

• Needs are essential for survival, while wants are things we desire but can live without.

• Wants are more important than needs.

• Needs are things we desire, while wants are essential for survival.

• Wants and needs mean the same thing.

Which of the following is an example of a public need?

• Clean water supply

• New smartphone

• Designer clothes

• Private car

Inflation is when prices ________ over time, while deflation is when prices ________ over time.

• Inflation is when prices increase over time, while deflation is when prices decrease over time.

• Inflation is when prices decrease over time, while deflation is when prices increase over time.

• Inflation is when prices stay the same over time, while deflation is when prices fluctuate over time.

• Inflation is when prices fluctuate over time, while deflation is when prices stay the same over time.

Name the four phases of the business cycle.

• Resolve, depression, recession, prosperity.

• Expansion, peak, contraction, trough.

• Start, growth, decline, end.

• Boom, bust, recovery, stagnation.

What does ETF stand for in finance?

• Exchange-Traded Fund

• Electronic Transfer Fund

• Equity Trust Fund

• Earnings Tax Fund

Define the term: Opportunity cost.

• Opportunity cost is the value of the next best alternative that is forgone when making a decision.

• Opportunity cost is the total amount of money spent on a project.

• Opportunity cost is the profit earned from an investment.

• Opportunity cost is the cost of all alternatives considered.

Define the term: CD.

• CD stands for Certificate of Deposit, a savings certificate with a fixed maturity date and specified interest rate.

• CD stands for Cash Deposit, a type of instant withdrawal account.

• CD stands for Credit Debit, a card used for online transactions.

• CD stands for Current Deposit, a business account with no interest.

Define the term: Money market deposit account.

• A money market deposit account is a type of savings account that typically pays higher interest rates and allows limited check writing.

• A money market deposit account is a type of checking account that offers unlimited withdrawals and no interest.

• A money market deposit account is a loan provided by banks to businesses for short-term needs.

• A money market deposit account is a credit card account with high interest rates and cash back rewards.

Define the term: Statement.

• A statement is a summary of all transactions in a bank account over a certain period.

• A statement is a type of loan offered by banks.

• A statement is a form of identification required to open an account.

• A statement is a method of transferring money between accounts.

Define the term: Compound (interest).

• Compound interest is interest calculated on both the principal and the accumulated interest from previous periods.

• Compound interest is interest calculated only on the principal amount.

• Compound interest is the interest paid only at the end of the investment period.

• Compound interest is the interest that decreases over time.