Chapter 1: Intro to Personal Finance

Credit system is structured for a state of income instability with high interest rates

Which of the following best explains why income alone does not determine wealth?

Which is not a factor in becoming money smart?

Personal financial success is primarily the result of:

A debt evidenced by a "note" which indicates principal, interest rate, and date of repayment.

Everyone should have the same financial plan

Which is not a reason credit is marketed heavily to consumers in U.S?

True financial security is achieved when your money begins to generate an income

Most Americans today are wealthy and will have financial security when they retire

Fee paid by a borrower to the lender for the use of borrowed money.

When it comes to personal finance, the math is easy. What's challenging is managing your ___.

Key components of financial planning include all of the following except:

Having debt keeps you from building wealth

New Deal policymakers came up w/ mortgage and consumer lending policies to convince banks that

Learning the language of money is not important, just rely on financial planners

All of the decisions and activities of a individual or family regarding their money

Which best explains why students should learn about personal finance?

Granting of a loan and the creation of debt

When it comes to managing money, success is about __% knowledge and __% behavior

What you do now with money will have little effect on your financial future.

Which of the following is a consequence of spending more than you make?

A person or organization that uses a product or service

Which of the following is not a true statement?

Which of the following best describes how Americans are outsmarted by banks and lenders?

When making a personal financial plan, first thing you should do is assess your current finance

A period of economic decline which trade and industry are reduced leading to a fall in the GDP

A system by which goods and services are produced and distributed

A person or business that offers loans at extremely high interest rates

Expensive houses and new cars are true indication of wealth

Most Americans don't use credit when it comes to buying big-ticket items (car or furniture)

Why was the use of credit uncommon prior to 1917?

Which is not a benefit of understanding your own money personality?

Widespread financial insecurity of Americans is primarily because:

Knowledge and skill sets necessary for managing finances effectively.

An obligation of repayment owed by one party to a second party