U5-Saving Investing-L1-Choose to Save Flashcards
Increase vocabulary skills through repetition to increase comprehension of curriculum
earning interest on interest
compound interest
purchase of goods and services
consumption
complete a task yourself rather than paying someone else to do it
do it yourself
cash set aside to cover the cost of unexpected events
emergency savings
price paid for using someone else’s money
interest
percentage rate used to calculate interest
interest rate
how quickly and easily assets can be converted to cash
liquidity
something of owned of value
asset
saving for future by putting money aside before paying regular expenses/spending money
pay yourself first
original amount of money saved or invested
principal
accumulation of excess funds by intentionally spending less than you earn
saving
portion of income not spent on consumption
savings
money available today is worth more than the same amount if received in the future
time value of money