Chapter 01 “Homework” Assignment

(The “personal portfolio”follows question #20).

Highlight your answers in some manner (different color, “bold” etc.) so I can pick out your answers easily… (Cut a guy some slack - I’m OLD!)

Use Microsoft WORD to type in your answers. (Periodically, SAVE the document). Submit the combined homework/ portfolio assignment using the appropriate “CANVAS” drop box.

  1. How does the text define the term “standard of living” ?
  1. According to the text, “wealth consists of financial and tangible assets”. Give 2 examples of a financial asset … AND… 2 examples of an tangible assets”?
  1. According to the text, who needs to develop a “personal financial plan”?
  1. According to the text, what is the difference between an asset and a liability?
  1. After reading the text, how would you describe “financial compatibility” as it relates to couples.
  1. Many employers do not offer “benefits” such as health insurance or pensions. According to the text, if a business does offer “employee benefits”, by what percentage can these increase the employee’s total compensation ?
  1. In the text section “Managing Your Finances in Tough Economic Times” (pgs 17/18), what arethe three “key principles of financial planning”:
  1. Many people anticipate that the next phase in this economy will involve inflation. What is inflation … AND… what is the most common measure of inflation.
  1. According to “Exhibit 1.8” in the text, what is the difference in annual “Median Income ($)” between an individual with a High School Diplomaversus a person with Bachelor’s Degree ?
  1. At the beginning of the “Chapter 01 Instructor Notes”, in the “To Begin …” box the second link is: Let’s See How Much Money You Will Earn in Your Entire Lifetime. According to the worksheet what is your “Total earningsfor period of __?__ Years”
  1. According to the “Internet Reading”New Rules for Personal Finance what are rules#1 and #2 ?
  1. Review the “Internet Reading”, 10 Ways to Screw Up Your Finances. Which of the 10 have are you most “guilty” of … EXPLAIN(briefly).
  1. According to the “Internet Reading”,Typical Money Mistakes … In the red outlined box, “If you pay only the minimum amount due on a $1,000 computer, about $20 a month, your total cost at an A.P.R. of more than 18% can be close to $3,000”. How long will it take to pay this off?
  1. Even if you consider yourself “older”, look over the“Internet Reading”, Financial Mistakes Young People Make. Which one of the 10 has previouslycost you the most or is currently costing you the most? … EXPLAIN(briefly).
  1. Review the “Internet Reading”, The “Upside” (?) To Being Sh*t Broke. Assuming you are, or have been, “sh*t broke”, have you learned any of the 5 points in the article? … EXPLAIN(briefly).
  1. In the internet readings, Why Care About Personal Finance, which of the 11 reasons is the most relevant to you now ?
  1. Read the“Internet Reading”, 10 Commandments,what “marketable skills” are you working on NOW … THIS SEMESTER ?
  1. In the “Internet Reading”, 10 Steps to Financial Securoty, what is #9 … AND … would you consider using a credit card “borrowing” from your (future) self ? EXPLAIN(briefly).
  1. In the “Internet Reading”, 10 Obstacles to Attaining Your Goals, what is obstacle #10 ?
  1. In the “Internet Reading”, Achieving Your Goals, what is the fourth “step” ?

“Personal Portfolio” section … (5 points)

Directions: Fill in the form with YOUR financial goals

In the “Internet Reading” section: How is Your Financial “Fitness”

Financial Fitness Quiz (Scwab) … what was your score ? ______

“Fitness Quiz” (Learn to Invest) … what was your category ? ______

In the “Internet Reading” section: You … and Money:

Money Personality Quiz:

What is your “money personality type” ? ______

Your “Money Personality”:

What “type” are you ? ______

Money Harmoney Quiz”:

What “type” are you ? ______

What are TWO of your “Short Term Monetary Goals” (complete all the columns)

Description of Goal / Estimated Total Cost $ / Target Completion Date / Amount $ to Save Weekly

What is ONE of your “Long-Term Monetary Goals” (complete all the columns)

Description of Goal / Estimated Total Cost $ / Target Completion Date / Amount $ to Save Weekly

DONE … FINISHED … COMPLETED … CONCLUDED … ACCOMPLISHED … COMSUMATED

NOW - SUBMIT THESE 3 PAGES AS A SINGLE DOCUMENT ABOVE