Ch 1&2- PF

The sixth component of a good financial plan is:

People typically insure _________________.

Common investments include:

__________ include info about the interest rate and the time period of paying back the loan.

The first component of a good financial plan is:

_______________ is money coming in through wages earned, allowance, or other sources.

________ is rent on money.

Creating a budget involves several steps: Establishing your net worth

Sally makes $10/hr and works 20 hrs a week and a $15/week allowance. What is her annual income?

Many people have _________ that will provide a cash amount in the event of their death.

The second component of a good financial plan is:

_____________ involves making decisions about how much cash or liquid assets to keep in reserve

In order to establish your net worth, you must accumulate more assets and reduce your

Make a plan for your ___________________________________________.

Financial problems are the #1 reason for ______________ in the United States

The amount owed on a loan is called the

Assets - Liabilities = ?

_______________ is the process of forecasting future expenses and income.

Debit Cards are like cash because the money comes straight from your

________ are things you might have that can be quickly turned into cash.

Liquid assets are helpful when you are experiencing

The use of long-term financing requires ________

Riskier investsments (stocks) can produce great returns-but also may experience

An example of a liquid asset is:

Longer term financing is usually available at a lower interest rate. This financing is used for

Typical expenses include:

__________________ is financial issues that affect an individual.

_____________ is a synonym for ownership.

_______ involves making decisions about getting credit and using credit

A budget helps you plan your spending and saving, so you can meet you

Good interest accumulates in

When you use credit (borrow money) the lender charges _____ on the money you borrow.

The seventh component of a good financial plan is:

The third component of a good financial plan is:

The fourth component of a good financial plan is:

Credit cards can be very ______

Typically, people who plan for retirement while they are young often

The fifth component of a good financial plan is:

___________ are what we owe, or debt

Suzy has saved $4250. She plans to purchase an $8000 car- How much will she have to finance?

Keeping financial records will help you when you __________

_______ is money owed to the government on earned income.

_________ are anything we own, such as cars or baseball cards

Liquidity assets include ______ that can be quickly and easily turned into cash.

In general, more education = more

________ refers to how much readily available cash you have on hand for meeting immediate needs

You should ____________ your financial plan to your family so everyone is on the same page.

Credit cards  _____________.

_____________________________ is the process of planning every aspect of your personal finances

Many people purchase _______________.