| A | B |
|---|
| Personal Financial Planning | planning to control money spending habits inorder to live a financially secure, comfortable life. |
| Goals | achievements that a person wants to accomplish |
| Values | beliefs and decisions that people find important |
| Opportunity Cost | something that is given up when making a choice between two things |
| Liquidity | how easy it is to turn something into money without losing the value of the money |
| Service | tasks that other people complete for you |
| Good | physical item that can be produced and purchased |
| Economics | study of decisions made in order to manufacture and hand out goods |
| Economy | the ways people manufacture and hand out goods |
| Supply | amount of goods that are available for people to purchase |
| Demand | amount of goods and services that people are eager to purchase |
| Federal Reserve System | a banking organization in the US that regulates the distribution of money to economy |
| Inflation | increase of value (prices) for goods and services |
| Consumer | people that buy the goods and services available |
| Interest | price paid to original owners of the amount of money so that others can use it |
| Principal | original amount of money at the beginning of a deposit |
| Future Value | amount of money that you have earned over a certain period of time and certain interest rate on an original deposit |
| Present Value | amount of money you must deposit inorder to reach a future amount over a certain period of time |
| Annuity | consistent amounts of money deposited at the bank |
| Gross Domestic Product (GDP) | amount of money earned before all the deductions such as taxes occur |
