The Endowment Effect is …

Valuing something more because you own it

Which answer applies to "fine print"?

It is usually where virtually all the important information is located

If you think you've been the victim of fraud or a scam, which of the following is the BEST first step?

Call the company to report problems as soon as you see them

What is a Phishing Scam?

Receiving emails posing as companies with intent to steal your information

More expensive products are better.

Unknown. It depends on your situation.

Amount of satisfaction people receive from products/services

What makes a person a "grown up"?

They make responsible decisions, even when we think they are no fun.

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Spending Unit

19 termsStudBud Administration694 plays

Spending Unit including Making Wise Decisions, Comparison Shopping, and Using Credit Cards Wisely

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Questions 19

Answers

1
Investments of time, effort, and money that cannot be recovered are...
Loss Aversion
Sunk Cost
FOMO (Fear of Missing Out)
Endowment Effect
2
The Endowment Effect is …
Valuing something more because you own it
Doing something because you see all of your friends doing it
Returning to a baseline level of happiness after a major event
Continuing something because you have contributed resources to it
3
What is the formula for unit price
Unit/Price
Price/Unit
4
Most online financial institutions and businesses will regularly send you emails asking you to update your account info
False
True
5
Mrs. Goff is the best financial literacy teacher I’ve ever had.
True
False
6
Which of the following is NOT a characteristic of comparison shopping
Emotional buying
Long‐term satisfaction in quality of product
Includes careful consideration
Evaluate product’s features and quality
7
Which answer applies to "fine print"?
It is the same size as regular print.
It is what companies want you to read.
It is always in bold print.
It is usually where virtually all the important information is located
8
If you think you've been the victim of fraud or a scam, which of the following is the BEST first step?
Call the police immediately.
Wait a few weeks to see if the problem fixes itself
Close your bank and/or credit card accounts.
Call the company to report problems as soon as you see them
9
What is the better deal?
5 apples for $1.00
2 apples for 0.50
10
What is a Phishing Scam?
Receiving emails posing as companies with intent to steal your information
Going out fishing with people
Losing money online gambling
Receiving a real email from a company
11
Why is unit price helpful?
It helps you stay within your budget.
All the them
It helps you make smart financial decisions.
It lets you compare the price of similar items.
12
How many decisions does a person make in a day?
About 25,000
Between 10,000 and 20,000.
Less than 10,000..
About 35,000
13
More expensive products are better.
Unknown. It depends on your situation.
True. They last longer.
False. Cheaper is always better.
True. They're always better quality.
14
What a person gives up when making a decision is commonly called:
opportunity cost
the time value of money
spontaneity
a personal risk
15
Impulsive financial decisions are often the result of emotions.
True
False
16
What is utility?
The amount of use a product/service gets
Amount of satisfaction people receive from products/services
How a product is used in the economy
How easy it is for a product to enter into the economy
17
What makes a person a "grown up"?
They are old enough to do whatever they want.
They want to be in charge.
They are the leader of the group.
They make responsible decisions, even when we think they are no fun.
18
Paula sees her friends' pictures of a concert that she couldn't attend because of work. She feels like an outsider.
Confirmation Bias
Sunk Cost
Endowment Effect
FOMO (Fear of Missing Out
19
Who influences values?
Religious affiliations
All of the above
Media
Family and friends

Spending Unit Flashcards | StudBud