Personal Financial Management - Chapter 8 Flashcards
Consignment shop
Retail store where people sell items and the owner of the shop gets a percentage of the sale
Auction
A public sale in which property or items of merchandise are sold to the highest bidder
Estate sale
Type of yard sales with more items, usual the entire contents of a household
Foreclosures
Process by which the holder of a mortgage sells the property of a homeowner who hasn’t made interest and/or principal payments on time as stipulated in the mortgage contract
Integrity
Having to do with a person’s honesty and moral attributes
Markup
Difference between the wholesale price and retail price
Negotiating (2)
To bargain for a lower price
When doing this, use integrity and avoid misinterpreting the truth
Patience
Ability to wait or delay an action without becoming upset or annoyed
Walk away power
Ability to walk away from a purchase when negotiating
Win-win
A negotiation where both parties benefit other review
Rebating
Sending in proof of purchase and receiving cash back
Where can you find a great deal?
If you find a convention that is closing down
A small part of a successful negotiation consists of…(3)
Gathering information on what the other person’s needs, wants, and fears
It’s proper to get a great deal if you (3)
- Have no way in misinterpreting the truth
- Haven’t set out to harm the other party
- Haven’t created a win-win deal
Keys to opening the door to a huge bargain ? (3)
- Learning to negotiate everything
- Patience
- Must know where to find great deals and trade something!
