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Personal Financial Planning
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arranging to spend, save, and invest money to live comfortably, have financial security, and achieve goals
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Personal Financial Planning
arranging to spend, save, and invest money to live comfortably, have financial security, and achieve goals
Goals
things you want to accomplish
Values
beliefs and principles you consider important, correct, and desirable
Oppurtunity Cost
what is given up when making one choice instead of another
Liquidity
the ability to easily convert financial assets into cash without loss in value
Service
a task a person or a machine performs for you
Good
a physical item that is produces and can be weighed or measured
Economics
the study of the decisions that go into making, distributing, and using goods as services
economy
the ways in which people make, distribute, and use thier goods and services
Supply
the amount of goods and services available for sale
Demand
the amount of goods and services people are willing to buy
Federal Reserve System
the central banking organization of the United States
Inflation
rise in the level of prices for goods and services over time
Consumer
a person who purchases and uses goods or services
Interest
the price that is paid for the use of another's money
time value of money
the increase of an anount of money due to earned interest or dividends
principle
the original amount of money you deposit
future value
the amount ypur original deposit will be worth in the future based on earning a specifc interest rate over a specific period of time
annuity
term sometimes used for a series of equal regular deposits to a savings account
present value
the amount of monry that you would need to deposit now in order to have a desired amount in the future
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