| A | B |
|---|
| well-being | feeling good about one's life |
| need | goods or services that are required for survival |
| want | the desire for goods and services that can increase our quality of life but are not absolutely necessary for our survival |
| trade-off | giving up one thing for another |
| opportunity cost | a decision is the value of the next best alternative that must be forgone as a result of a decision |
| value | fundamental belief or practice about what is desirable, worthwhile, and important to an individual |
| financial goals | Specific objectives that are accomplished through financial planning |
| financial planning | Managing money continuously through life in order to reach your financial goals |
| goal | Something a person intends to acquire, achieve, or accomplish in the future |
| long‐term goals | A goal that will be attained in more than one year |
| opportunity cost | The value of the next best alternative that must be forgone as a result of a decision |
| short‐term goals | A goal that will be attained in less than one year |
