Principles of Financial Planning Answers

This chart shows Dan’s budget:

In American society, which of these is an example of a want?

In personal finance, one makes decisions based on needs vs. wants. What is considered a need?

What is included in an individual’s personal assets? Select three options.

How do long-term financial goals differ from short-term financial goals?

Which of these is the best example of an asset?

_____ are items such as utilities, rent, and food—items that one can’t do without.

Which would be most helpful when considering a large expenditure that might require repeating payments? Select three options.

Emma lives on a tight budget. She saves money and also makes intelligent choices when spending it. Which statements describe Emma’s financial skills? Select three options.