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Personal Finance VOC

Unit 1 Key Terms

QuestionAnswer
Personal Finance How you manage your money.
Income Money earned from work or gained from investments
spending trading $ money in exchange for a good or service.
What is the difference between a good and a service? A good is a product (tangible; can be touched and a Service is intangible (cannot be touched) skill. Example: getting a hair cut
Budget a plan for saving and spending
credit Buying something NOW and PAYING LATER + interest
Saving Money set aside for an EMERGENCY later.
Investing putting money to use in something with the hope of making MORE money on your investment
interest a fee paid for the use of borrowing money.
Credit card small plastic card issued by a bank. Allows a person to BUY now and PAY LATER
Debit Card A plastic card from a bank. Money comes from your checking account.
Created by: ssha13
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