Chapter 1 Test Review

Overview of an individual's current financial position and strategies to meet future financial aspirations

Period of rising prices

Supply of something that can be used when needed

States that the marginal benefit of using each additional unit of something decreases as the quantity used increases

Ethical behavior calls for honesty. Which of the following actions could be considered ethical?

State of the economy at a given time

Value or goal that is given more importance than other values or goals

What decision-making strategy weighs the costs against the benefits of an action, purchase, or financial decision?

Overall structure of values and goals that guides a person's behavior and provides a sense of direction in life

Tangible items that can be touched, used, and purchased are _______.

Change in total benefit of using one additional unit

Things a person desires but can live without

Intangible activity that another person usually performs for a fee

Possession of a body of financial knowledge, a set of basic skills, and the ability to apply them to make a decision.

What is the first step of systematic decision-making?

Statistical characteristics of a population

Value of the option you gave up

Having the ability to understand basic topics related to finance

Which of the following is an example of a human resource?

Process of organizing and using resources to achieve predetermined objectives