Financial Planning Student Notes Feb 2015
Autor: andrewZ17 • March 27, 2015 • Creative Writing • 638 Words (3 Pages) • 1,017 Views
Unit Goal: Identify successful money management techniques and create a budget and savings plan.
- Financial planning: An ongoing process that can take you from where you are financially to where you want to be financially.
- Spending Habits Activity
Spending/Saving Habit | Positive or Negative Habit |
- Spending log: A daily record of everything you spend money on and how much money you spend.
- Goods: Touchable items
- Services: Untouchable items
- Goods & Services Activity
List 3 Goods you would like to Purchase | List 3 Services you would like to Purchase |
- Consumer: A person who purchases goods and services for the personal use.
- Economy: The process or system by which goods and services are produced, sold, and bought in a country or region.
Economic conditions: The state of the economy at a given time.
- Recession: A period of slow or no economic growth.
- Inflation: Overall increase in the price of goods and services.
- Need: Items a person must have in order to survive.
- Want: Nonessential things a person would like to have.
Needs & Wants Activity | |
Needs | Wants |
food | Expensive car |
shelter | Extra clothes |
money | New Shoes |
- Opportunity cost: Value of the option that were given up for another option.
Opportunity Cost Activity | If you choose Option #1 Your Opportunity Cost is.. | If you choose Option #2 Your Opportunity Cost is.. |
Earned $175 Option #1: Save money for a trip with friends to NYC and a Broadway play. Option #2: Buy a new cell phone | Give up the new cell phone. | Giving up the day with my friends to go to NYC to see the Broadway play. |
Your ice cream business must reduce expenses Option #1: decrease the manager’s overtime salary Option #2: fire two part-time employees | The manager’s overtime salary is reduced. | Lose employees. |
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