5
AssignmentMultiple Select

Understanding Checking and Debit Accounts

Question 5 • Personal Finance - EL3403

If Mason wants to consider his short-term and long-term goals, which questions should he ask? Check all that apply.

Answer
A
Will other kids think my new bike is cool?
B
Do I want the bike this month, or should I wait and buy it during the summer?
C
Will buying the bike keep me from reaching another goal, like buying a car?
D
Do I really need the bike, or can I get by with my old one for a while longer?
E
How many of my friends have new bikes?

Explanation

B helps Mason compare buying the bike now with waiting, so he can think about when it fits his goals. C asks whether the purchase would interfere with a longer-term goal, such as buying a car. D helps him decide whether the bike is a need or a want and whether postponing it would help him meet other goals. Questions about what friends think or own don’t help him evaluate his own goals.

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