UNIT 1 - REVIEW

What is personal finance?

• The management of an individual's financial decisions, including budgeting, saving, spending, and planning for the future.

• The study of how businesses invest money.

• The process of printing money for a country.

• The act of borrowing money from friends.

What are financial values?

• Fundamental beliefs that shape and influence financial behaviors and decisions.

• The amount of money in a bank account.

• The price of goods in a store.

• The number of coins in a piggy bank.

What can economic recessions cause people to do?

• Spend more money

• Save less money

• Value savings and stability over risk and consumption

• Take more financial risks

What role do media and social media play in financial behavior?

• They have no impact

• They influence perceptions of wealth and success

• They only provide news

• They discourage financial planning

What is one effect of advertisements and social media influencers on financial behavior?

• They always promote saving money

• They can add pressure and stress to maintain a certain lifestyle

• They encourage everyone to avoid spending

• They have no effect on financial goals

Which of the following is a typical behavior of a saver?

• Shopping for the best deals and essentials

• Frequently eating at expensive restaurants

• Spending money on the newest trends

• Ignoring financial planning

Why do savers earmark funds?

• For emergencies, significant purchases, and retirement

• To spend on entertainment

• To buy luxury cars

• To avoid saving money

What is a spender?

• A person who enjoys using their money to purchase products and experiences without much hesitation, and with less concern for saving.

• A person who only saves money and never spends it.

• A person who invests all their money in stocks.

• A person who never uses credit cards.

Which money personality draws on the strengths of savers, spenders, and investors?

• Balancer

• Avoider

• Investor

• Spender

What might cause an avoider to avoid financial lessons?

• Lack of interest or insufficient understanding

• Too much confidence in financial matters

• Desire to take high risks

• Love for making financial plans