Deck 9: Managing the Future

Question 1

Something that one wishes to reach, or accomplish within a certain timeframe, is a(n) ______.

A) standard
B) worldview
C) objective
D) goal

Answer 1

goal

Question 2

A subset of a goal and used as a checkpoint to measure progress toward goal achievement is a(n) ______.

A) standard
B) worldview
C) objective
D) attitude

Answer 2

objective

Question 3

Short-term goals are generally accomplished in ______.

A) less than 3 months
B) more than 3 months and less than 6 months
C) more than 6 months and less than 1 year
D) more than 1 year

Answer 3

less than 3 months

Question 4

Intermediate goals will be accomplished in ______.

A) less than 6 months
B) less than 1 year
C) more than 1 year and less than 5 years
D) more than 5 years

Question 5

Perceived acceptable levels of adequacy that has an impact on goals is a(n) ______.

A) attitude
B) goal
C) standard
D) objective

Question 6

The planning process begins with ______.

A) high standards
B) set goals
C) objectives
D) the decision

Question 7

In group situations, a plan of action may be implemented and members are asked to generate possible solutions. This approach is known as______.

A) multitasking
B) brainstorming
C) sequencing
D) adapting

Question 8

Alternative plans that are created simultaneously with the original plan in anticipation of the possibility of problems are known as ______.

A) proactive plans
B) reactive plans
C) contingency plans
D) directional plans

Question 9

Plans designed in consideration of anticipated events are known as ______.

A) proactive plans
B) reactive plans
C) contingency plans
D) directional plans

Question 10

An example of a variable expense would be ______.

A) a car loan
B) rent
C) renter's insurance
D) electricity

Question 11

An example of a fixed expense would be ______.

A) mortgage
B) a cell phone bill
C) weekly groceries
D) clothing

Question 12

Since the depression of the 1930s, the government has gathered information from families in an effort to provide guidelines to compare expenditures using ______.

A) a maintenance budget
B) family financial planning
C) a cost of living scale
D) education and training

Question 13

According to Williams, Hudman, and O'Malley, money spent on basic living expenses for low-income families represents ______.

A) 5 out of 10 dollars
B) 7 out of 10 dollars
C) 9 out of 10 dollars
D) all of their income

Question 14

Families that use the practice of rotating bills in an effort to make ends meet will eventually ______.

A) have a bad credit rating
B) be able to get back on their feet financially
C) have to declare bankruptcy
D) create a budget that works for paying off their debts and forming a savings plan for future debt

Question 15

Careers typically peak after age ______.

A) 40
B) 45
C) 50
D) 55

Question 16

The characteristics of a good financial plan include all EXCEPT ______.

A) flexibility
B) exclusivity
C) protection
D) liquidity

Question 17

As protection against disastrous events such as fire or major illness and in addition to having emergency funds available, families should also make plans for ______.

A) family support
B) good citizenship
C) social services
D) insurance protection

Question 18

Despite recent global disasters, what percentage of Americans have actually made plans in the event of a crisis?

A) 1%
B) 9%
C) 16%
D) 28%

Question 19

In order to be ready for a crisis, Pagan recommends families have basic resources that include food, water, and ______.

A) medications
B) Internet services
C) phone numbers of emergency services
D) reading materials

Question 20

Important documents needed in case of emergencies include birth certificates, Social Security cards, insurance identification cards, and ______.

A) baptismal records
B) financial statements
C) marriage certificates
D) voter registration cards

Question 21

Goals reflect basic values, attitudes, and beliefs.

Question 22

Long-range goals usually require more than five years to complete.

Question 23

Societal goals, family goals, and individual goals are specific to each group and rarely overlap.

Question 24

Our living standards have continued to rise over the last three generations.

Question 25

A schedule is the mental process of laying out activities and resources needed to complete any particular task or goal.

Question 26

Many daily activities require little focus and allow us to multitask.

Question 27

Decisions that have been repeated many times or those that involve little risk or investment are often implemented by using intuition and past experience.

Question 28

Proactive plans are alternative plans created simultaneously with the original plan in anticipation of problems.

Question 29

Computer and Internet use has done little to change the scheduling process for families.

Question 30

Budgeting allows families to adjust expenses to better meet family goals and objectives.

Question 31

During economic difficulties, families who rotate bill paying will eventually be able to catch up and improve their economic situation.

Question 32

American social ideals revolve around many materialistic acquisitions.

Question 33

Travel and leisure opportunities are seen as a luxury for lower and middle class groups but as an expectation for upper income groups.

Question 34

Young workers are more likely to save if their employer offers a savings plan program.

Question 35

Tax and estate planning usually become important to a person between the ages of 70 and 80.

Question 36

Managing investments are difficult for the average person to understand and require professional assistance.

Question 37

Once a savings fund is large enough to provide security, riskier investments can be explored.

Question 38

There may be certain times and circumstances where saving money is less profitable than spending it.

Question 39

Since 9/11, most Americans are prepared for a crisis.

Question 40

How do goals contribute to personal growth and satisfaction with life?

Question 41

Name and differentiate three ways to categorize goals.

Question 42

Give an example of a societal goal.

Question 43

In the planning process, what is the purpose of the schedule?

Question 44

In the planning process, what is the purpose of sequencing?

Question 45

Give an example of planning action that requires independent activities.

Question 46

Give an example of planning action that requires interdependent activities.

Question 47

Give an example of a directional plan.

Question 48

According to Lareau, who is responsible for overscheduling in the family?

Question 49

In the planning process of budgeting, what is the difference between gross income and net income?

Question 50

What is the difference between a maintenance budget and an emergency budget?

Question 51

How do housing needs change when approaching retirement age?

Question 52

List three common financial goals for families.

Question 53

Why are family financial goals unique?

Question 54

Explain Greshan's law of planning.

Question 55

In order to ensure that an investment is earning the maximum amount, what needs to be taken into account?

Question 56

What are the benefits of real estate investments?

Question 57

Discuss the emergency action plans of most Americans.

Question 58

According to Pagan, what supplies and resources should a family have accessible to them in case of emergency?

Question 59

Discuss the planning process. Use an example of a situation to explain the process.

Question 60

Discuss how the planning and scheduling process has changed with our current technology. What are the consequences to overscheduling?

Question 61

Outline how history has changed the process of budgeting over the last one hundred years.

Question 62

Discuss the stages of the family financial life cycle.

Question 63

Reflect on the benefits for a family in creating a financial plan. Include the consequences of not having a plan.