SOLUTION MANUAL FOR v v
IntroductionvtovPersonalvFinancevBeginningvYourvFinancialvJourney,v2ndvEditi
onvJohnvE.vGrable,vLancevPalmer
Chapterv1-10
Chapter 1—Solutions Manual
v v
BeginningvYourvFinancialvJourney:vThevInteriorvFinancevPointvofvView
IntroductionvtovPersonalvFinance:vBeginningvYourvFinancialvJourney
ByvJohnvGrablevandvLancevPalmer
Learning Objectives
v
1.1 Describevhowvyourvfinancialvknowledge,vexperience,vriskvtolerance,vandvfeelingsvofvcontrolvi
nfluencevthevwayvyouvviewvthevfinancialvworld.
1.2 Explainvhowvyourvhumanvandvsocialvcapitalvrelatevtovyourvfinancialvwell-being.
1.3 Discussvhowvfinancialvriskvtolerancevrelatesvtovfinancialvgoalvachievement.
1.4 UsevyourvuniquevtimevperspectivevtovcreatevSMARTvfinancialvgoals.
1.5 Describevstrategiesvtovovercomevmentalvbiasesvandvimprovevfinancialvdecisionvmakingvandv
well-being.
Keyvtovmetadatavforvquestions:
LO:vLearningvobjectivevnumber
BT:vBloom‘svtaxonomyv[Knowledgev(K),vComprehensionv(C),vApplicationv(Ap),vAnalysisv(An),vSynt
hesisv(S),vEvaluationv(E)]
Diff:vDifficultyvlevelv[Easyv(E),vMediumv(M),vHardv(H)]v
TOT:vExpectedvtimevforvstudentvtovcomplete
AACSB:vKnowledgev(K),vCommunicationv(C),vEthicsv(E),vAnalyticv(A),vTechnologyv(T),vDiversityv(
D),vReflectivevThinkingv(RT),vNotvApplicablev(NA)
Samplevrubricvforvwritingvquestions:
Note:vItvisvgenerallyvrecommendedvthatvthevrubricvbevsharedvwithvstudents,vsovitvshouldvbevs
ufficientlyvgeneralvtovnotvgivevawayvanswers.
Notesvforvinstructor:
Eachvwritingvquestionvwillvhavevcriteriavwhichvarevspecificvtovthevquestion.vThevinstructorvma
yvwantvtovaddvorvdeletevgradingvcriteriav(rows)vdependingvonvthevtopicvandvassignment.vHowv
eachvgradingvcriterionvwillvbevassessedvandvthevassociatedvpointsvforveachvlevelvofvperforma
ncevarevfoundvinvcolumnsv2–5.
© John Wiley & Sons, Inc. or the author, All rights reserved. Instructors who are authorized users of this course are permitted to
download these materials and use them in connection with the course. Except as permitted herein or by law, no part of these
materials should be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical,
photocopying, recording or otherwise.
, Invthevsamplevrubric,vavtotalvofv16vpointsvarevpossiblevforvthisvassignment.vEachvgradingvcrite
rionv(row)visvworthvupvtov4vpointsv(columnv2).
Rubric:v(Itvisvsuggestedvthatvthevrubricvbevsharedvwithvthevstudents.)
Fullvpoints 75%vofvpoints 50%vofvpoints 25%vofvpoints
Criteria
v(4voutvofv4 (3voutvofv4) (2voutvofv4) (1voutvofv4)
)
Thoroughnessvofvans
Thevquestionvi Thevresponsevisvla Thevresponsevisvl Thevresponsevisvinco
wervtovthevquestion
svansweredvth ckingvavfewvdetails ackingvsignificantv mpletevandvlimited
oroughly details
Amountsvandvi
Muchvofvthevres Thevresponsevdoesv
nformationvdis Somevofvthevrespo
Answervisvrealistic/rel ponsevisvirrelev notvrepresentvrealisti
cussedvarevrel nsevisvirrelevantvtov
evant ant,vunrealistic,v cvorvrelevantvunderst
evantvandvpert thevquestion
orvoverlyvsimplis andingvofvtopic
inentvtovthevqu
tic
estion
Organization/clarityv
Wellvorga Adequatevorganiz Limitedvorganizati
ofvthought Poorvorganization
nized ation on
(25%vofvscore)
Avclearvconclu
sionvorvrecom
mendativonvisv
Appropriatevrecomm Conclusionvorvrec
presentedv th
endationsvandvconcl ommendationvisv Conclusionvorvrec Novconclusionvorvrec
atvisvappropria
usionsvarevreached mostlyvclearvandv ommendationvisvi ommendationvisvprovi
tevgivenvthevco
(25%vofvscore) appropriatevgivenv ncomplete ded
ntent
thevcontent
discussed
1.1 Describe how your financial knowledge, experience, risk tole
v v v v v v v
rance, and feelings of control influence the way you view the financ
v v v v v v v v v v v
ial world.
v
1.1 Multiple-Choice Questions v
1. b.vthevcombinationvofvfinancialvknowledgevandvskills.
Answer:vb;vSection:v1.1;vLO:v1.1;vBT:vK;vDiff:vE;vTOT:v2vmin;vAACSB:vK
2. c.vIvandvIIvonly.
Answer:vc;vSection:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v2vmin;vAACSB:vRT
3. d.vyourvfinancialvknowledge,vfinancialvrisk-
taking,vandvfeelingsvofvcontrolvovervyourvsituation.
Answer:vd;vSection:v1.1;vLO:v1.1;vBT:vK;vDiff:vE;vTOT:v2vmin;vAACSB:vRT
© John Wiley & Sons, Inc. or the author, All rights reserved. Instructors who are authorized users of this course are permitted to
download these materials and use them in connection with the course. Except as permitted herein or by law, no part of these
materials should be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical,
photocopying, recording or otherwise.
,4. c.vbelievevstronglyvinvluckvandvfate
Answer:vc;vSection:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v2vmin;vAACSB:vRT
5. a.vmorevknowledgeablevaboutvthevfinancialvmarketplacevovervtimevandvtovincreasevhisv
personalvwealth.
Answer:va;vSection:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v2vmin;vAACSB:vRT
6. c.vHavingvandvraisingvavchild.
Answer:vc;vSection:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v2vmin;vAACSB:vRT
7. a.vConsumervspending.
Answer:va;vSection:v1.1;vLO:v1.1;vBT:vK;vDiff:vE;vTOT:v2vmin;vAACSB:vK
8. b.vGDPvwouldvfallvbecausevconsumersvwouldvspendvlessvonvgoodsvandvservices.v
Answer:vb;vSection:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v2vmin;vAACSB:vRT
9. a.vAvwillingnessvtovsavevmoneyvonvavregularvbasis.
Answer:va;vSection:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v2vmin;vAACSB:vRT
10. c.vMichelle,vwhovgivesvregularlyvtovcharity,vreadsvaboutvinvestingvandvisvself-
confident.vAnswer:vc;vSection:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v2vmin;vAACSB:vRT
1.1. Adventures in Personal Finance
v v v
ShortvAnswer
1. vAnswer:vHigh-
qualityvresponsesvshouldvincludevavdiscussionvofvhowvthevwealthvwasvaccumulated,vwork
veffort,vandvlocusvofvcontrolv(chancevversusvwork),vandvalsovincludevavdiscussionvofvthevst
udent‘svperceptionvofvhisvorvhervlocusvofvcontrol.vPleasevrefervtovthevsamplevwritingvassig
nmentvrubricvinvthevsolutionsvmanual.
Section:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v15vmin;vAACSB:vRT,vE
2. Answer:vRiskvtolerancevdescribesvyourvwillingnessvtovengagevinvfinancialvactivitiesvthatvhav
evuncertainvoutcomes.vIndividualsvwithvlowvriskvtolerancevmayvbevfearfulvofvthevfinancialvmar
ketsvandvfinancialvactivitiesvandvavoidvthem.vAsvyourvfinancialvliteracyvincreasesvandvriskvper
ceptionsvarevproperlyvunderstood,vyourvwillingnessvtovengagevinvrisksvmayv increase.
Section:v1.1;vLO:v1.1;vBT:vAp;vDiff:vM;vTOT:v5vmin;vAACSB:vRT,vA
3. Answer:vHigh-
qualityvresponsesvshouldvincludevavdiscussionvofvhowvsavingsvbehaviorvmayvdiffervbetweenv
generations.vPleasevrefervtovthevsamplevwritingvassignmentvrubricvinvthevsolutionsvmanual.
Section:v1.1;vLO:v1.1;vBT:vApvorvAn;vDiff:vM;vTOT:v20vmin;vAACSB:vRT,vD
4. Answersvwillvvaryvbasedvonvstudentvexperiences.vThevsamplevgradingvrubricvfoundvinvthev
solutionsvmanualvcanvbevadaptedvtovgradevthisvassignment.
© John Wiley & Sons, Inc. or the author, All rights reserved. Instructors who are authorized users of this course are permitted to
download these materials and use them in connection with the course. Except as permitted herein or by law, no part of these
materials should be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical,
photocopying, recording or otherwise.
, Section:v1.1;vLO:v1.1;vBT:vAp;vDiff:vM;vTOT:v20vmin;vAACSB:vRT
Explore
1. Answer:vGDPvdecreasedvduringvthisvtimevperiod.vAvrecessionvisvavdecreasevinvGDP.v
Section:v1.1;vLO:v1.1;vBT:vAn;vDiff:vE;vTOT:v10vmin;vAACSB:vA
2. Answer:vHigh-
qualityvresponsesvshouldvincludevavdiscussionvofvmaterialvthatvthevstudentvfoundvasvwellva
svthevstudent‘svassessmentvofvthatvmaterial.vPleasevrefervtovthevsamplevwritingvassignme
ntvrubricvinvthevsolutionsvmanual.
Section:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v20vmin;vAACSB:vT
3. Answer:vHigh-
qualityvresponsesvshouldvincludevavdiscussionvofvhowvwellvthevstudentvperformedvinvthevg
amevandvthevstudent‘svassessmentvwhethervthisvtypevofvlearningvplatformvisvhelpfulvforvot
hers.vStudentsvshouldvjustifyvtheirvresponses.vPleasevrefervtovthevsamplevwritingvassignm
entvrubricvinvthevsolutionsvmanual.
Section:v1.1;vLO:v1.1;vBT:vAn;vDiff:vM;vTOT:v20vmin;vAACSB:vC
4. Answer:vThevF.I.R.E.vmovementvmayvappealvtovindividualsvstudyingvpersonalvfinance.vThevn
otionvofvsavingvmoneyvearlyvifvlifevinvordervtovexitvthevjobvmarketvtovpursuevlifevdreams,vcomm
unityvservice,vandvwork-
lifevbalancevisvsomethingvthatvappealsvtovMillennialsvandvothersvwhovfindvworkingvtovbevrestri
ctive.vTherevarevnovcorrectvorvincorrectvanswersvtovthisvquestion.vAftervresearchingvthevmove
ment,vstudentsvmayvrealizevthatvthevrealityvofvfillingv30vtov50vyearsvofvdailyvexperiencevoutsid
evofvthevjobvmarketvmayvnotvbevmatchvthevdream,vespeciallyvifvthevretirementvbudgetvisvveryvti
ght.vPleasevrefervtovthevsamplevwritingvassignmentvrubricvinvthevsolutionsvmanual.
Section:v1.1;vLO:v1.1;vBT:vAn;vDiff:vM;vTOT:v20vmin;vAACSB:vC
ExpandedvLearningvActivity
Answer:vHigh-
qualityvresponsesvshouldvdiscussvthevresultsvofvthevresearchvandvhowvthosevresultsvrelatevt
ovfinancialvplanning.vPleasevrefervtovthevsamplevwritingvassignmentvrubricvinvthevsolutionsvm
anual.
Section:v1.1;vLO:v1.1;vBT:vE;vDiff:vH;vTOT:v120vmin;vAACSB:vC
1.1 Practice Questionsv
(ThevPracticevQuestionsvdovnotvappearvinvthevprintedvtextbook.vAutogradablevversionvisvavailablevi
nvyourvWileyvcourse,vwithvalgorithmicallyvchangingvvaluesvwhenvapplicable.)
1. Whichvofvthevfollowingvelementsvinfluencevyourvviewvofvthevfinancialvworld?
I. Yourvriskvtolerance.
II. Howvmuchvyouvbelievevyouvcontrolvyourvfinancialvfuture.
© John Wiley & Sons, Inc. or the author, All rights reserved. Instructors who are authorized users of this course are permitted to
download these materials and use them in connection with the course. Except as permitted herein or by law, no part of these
materials should be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical,
photocopying, recording or otherwise.
IntroductionvtovPersonalvFinancevBeginningvYourvFinancialvJourney,v2ndvEditi
onvJohnvE.vGrable,vLancevPalmer
Chapterv1-10
Chapter 1—Solutions Manual
v v
BeginningvYourvFinancialvJourney:vThevInteriorvFinancevPointvofvView
IntroductionvtovPersonalvFinance:vBeginningvYourvFinancialvJourney
ByvJohnvGrablevandvLancevPalmer
Learning Objectives
v
1.1 Describevhowvyourvfinancialvknowledge,vexperience,vriskvtolerance,vandvfeelingsvofvcontrolvi
nfluencevthevwayvyouvviewvthevfinancialvworld.
1.2 Explainvhowvyourvhumanvandvsocialvcapitalvrelatevtovyourvfinancialvwell-being.
1.3 Discussvhowvfinancialvriskvtolerancevrelatesvtovfinancialvgoalvachievement.
1.4 UsevyourvuniquevtimevperspectivevtovcreatevSMARTvfinancialvgoals.
1.5 Describevstrategiesvtovovercomevmentalvbiasesvandvimprovevfinancialvdecisionvmakingvandv
well-being.
Keyvtovmetadatavforvquestions:
LO:vLearningvobjectivevnumber
BT:vBloom‘svtaxonomyv[Knowledgev(K),vComprehensionv(C),vApplicationv(Ap),vAnalysisv(An),vSynt
hesisv(S),vEvaluationv(E)]
Diff:vDifficultyvlevelv[Easyv(E),vMediumv(M),vHardv(H)]v
TOT:vExpectedvtimevforvstudentvtovcomplete
AACSB:vKnowledgev(K),vCommunicationv(C),vEthicsv(E),vAnalyticv(A),vTechnologyv(T),vDiversityv(
D),vReflectivevThinkingv(RT),vNotvApplicablev(NA)
Samplevrubricvforvwritingvquestions:
Note:vItvisvgenerallyvrecommendedvthatvthevrubricvbevsharedvwithvstudents,vsovitvshouldvbevs
ufficientlyvgeneralvtovnotvgivevawayvanswers.
Notesvforvinstructor:
Eachvwritingvquestionvwillvhavevcriteriavwhichvarevspecificvtovthevquestion.vThevinstructorvma
yvwantvtovaddvorvdeletevgradingvcriteriav(rows)vdependingvonvthevtopicvandvassignment.vHowv
eachvgradingvcriterionvwillvbevassessedvandvthevassociatedvpointsvforveachvlevelvofvperforma
ncevarevfoundvinvcolumnsv2–5.
© John Wiley & Sons, Inc. or the author, All rights reserved. Instructors who are authorized users of this course are permitted to
download these materials and use them in connection with the course. Except as permitted herein or by law, no part of these
materials should be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical,
photocopying, recording or otherwise.
, Invthevsamplevrubric,vavtotalvofv16vpointsvarevpossiblevforvthisvassignment.vEachvgradingvcrite
rionv(row)visvworthvupvtov4vpointsv(columnv2).
Rubric:v(Itvisvsuggestedvthatvthevrubricvbevsharedvwithvthevstudents.)
Fullvpoints 75%vofvpoints 50%vofvpoints 25%vofvpoints
Criteria
v(4voutvofv4 (3voutvofv4) (2voutvofv4) (1voutvofv4)
)
Thoroughnessvofvans
Thevquestionvi Thevresponsevisvla Thevresponsevisvl Thevresponsevisvinco
wervtovthevquestion
svansweredvth ckingvavfewvdetails ackingvsignificantv mpletevandvlimited
oroughly details
Amountsvandvi
Muchvofvthevres Thevresponsevdoesv
nformationvdis Somevofvthevrespo
Answervisvrealistic/rel ponsevisvirrelev notvrepresentvrealisti
cussedvarevrel nsevisvirrelevantvtov
evant ant,vunrealistic,v cvorvrelevantvunderst
evantvandvpert thevquestion
orvoverlyvsimplis andingvofvtopic
inentvtovthevqu
tic
estion
Organization/clarityv
Wellvorga Adequatevorganiz Limitedvorganizati
ofvthought Poorvorganization
nized ation on
(25%vofvscore)
Avclearvconclu
sionvorvrecom
mendativonvisv
Appropriatevrecomm Conclusionvorvrec
presentedv th
endationsvandvconcl ommendationvisv Conclusionvorvrec Novconclusionvorvrec
atvisvappropria
usionsvarevreached mostlyvclearvandv ommendationvisvi ommendationvisvprovi
tevgivenvthevco
(25%vofvscore) appropriatevgivenv ncomplete ded
ntent
thevcontent
discussed
1.1 Describe how your financial knowledge, experience, risk tole
v v v v v v v
rance, and feelings of control influence the way you view the financ
v v v v v v v v v v v
ial world.
v
1.1 Multiple-Choice Questions v
1. b.vthevcombinationvofvfinancialvknowledgevandvskills.
Answer:vb;vSection:v1.1;vLO:v1.1;vBT:vK;vDiff:vE;vTOT:v2vmin;vAACSB:vK
2. c.vIvandvIIvonly.
Answer:vc;vSection:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v2vmin;vAACSB:vRT
3. d.vyourvfinancialvknowledge,vfinancialvrisk-
taking,vandvfeelingsvofvcontrolvovervyourvsituation.
Answer:vd;vSection:v1.1;vLO:v1.1;vBT:vK;vDiff:vE;vTOT:v2vmin;vAACSB:vRT
© John Wiley & Sons, Inc. or the author, All rights reserved. Instructors who are authorized users of this course are permitted to
download these materials and use them in connection with the course. Except as permitted herein or by law, no part of these
materials should be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical,
photocopying, recording or otherwise.
,4. c.vbelievevstronglyvinvluckvandvfate
Answer:vc;vSection:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v2vmin;vAACSB:vRT
5. a.vmorevknowledgeablevaboutvthevfinancialvmarketplacevovervtimevandvtovincreasevhisv
personalvwealth.
Answer:va;vSection:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v2vmin;vAACSB:vRT
6. c.vHavingvandvraisingvavchild.
Answer:vc;vSection:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v2vmin;vAACSB:vRT
7. a.vConsumervspending.
Answer:va;vSection:v1.1;vLO:v1.1;vBT:vK;vDiff:vE;vTOT:v2vmin;vAACSB:vK
8. b.vGDPvwouldvfallvbecausevconsumersvwouldvspendvlessvonvgoodsvandvservices.v
Answer:vb;vSection:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v2vmin;vAACSB:vRT
9. a.vAvwillingnessvtovsavevmoneyvonvavregularvbasis.
Answer:va;vSection:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v2vmin;vAACSB:vRT
10. c.vMichelle,vwhovgivesvregularlyvtovcharity,vreadsvaboutvinvestingvandvisvself-
confident.vAnswer:vc;vSection:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v2vmin;vAACSB:vRT
1.1. Adventures in Personal Finance
v v v
ShortvAnswer
1. vAnswer:vHigh-
qualityvresponsesvshouldvincludevavdiscussionvofvhowvthevwealthvwasvaccumulated,vwork
veffort,vandvlocusvofvcontrolv(chancevversusvwork),vandvalsovincludevavdiscussionvofvthevst
udent‘svperceptionvofvhisvorvhervlocusvofvcontrol.vPleasevrefervtovthevsamplevwritingvassig
nmentvrubricvinvthevsolutionsvmanual.
Section:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v15vmin;vAACSB:vRT,vE
2. Answer:vRiskvtolerancevdescribesvyourvwillingnessvtovengagevinvfinancialvactivitiesvthatvhav
evuncertainvoutcomes.vIndividualsvwithvlowvriskvtolerancevmayvbevfearfulvofvthevfinancialvmar
ketsvandvfinancialvactivitiesvandvavoidvthem.vAsvyourvfinancialvliteracyvincreasesvandvriskvper
ceptionsvarevproperlyvunderstood,vyourvwillingnessvtovengagevinvrisksvmayv increase.
Section:v1.1;vLO:v1.1;vBT:vAp;vDiff:vM;vTOT:v5vmin;vAACSB:vRT,vA
3. Answer:vHigh-
qualityvresponsesvshouldvincludevavdiscussionvofvhowvsavingsvbehaviorvmayvdiffervbetweenv
generations.vPleasevrefervtovthevsamplevwritingvassignmentvrubricvinvthevsolutionsvmanual.
Section:v1.1;vLO:v1.1;vBT:vApvorvAn;vDiff:vM;vTOT:v20vmin;vAACSB:vRT,vD
4. Answersvwillvvaryvbasedvonvstudentvexperiences.vThevsamplevgradingvrubricvfoundvinvthev
solutionsvmanualvcanvbevadaptedvtovgradevthisvassignment.
© John Wiley & Sons, Inc. or the author, All rights reserved. Instructors who are authorized users of this course are permitted to
download these materials and use them in connection with the course. Except as permitted herein or by law, no part of these
materials should be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical,
photocopying, recording or otherwise.
, Section:v1.1;vLO:v1.1;vBT:vAp;vDiff:vM;vTOT:v20vmin;vAACSB:vRT
Explore
1. Answer:vGDPvdecreasedvduringvthisvtimevperiod.vAvrecessionvisvavdecreasevinvGDP.v
Section:v1.1;vLO:v1.1;vBT:vAn;vDiff:vE;vTOT:v10vmin;vAACSB:vA
2. Answer:vHigh-
qualityvresponsesvshouldvincludevavdiscussionvofvmaterialvthatvthevstudentvfoundvasvwellva
svthevstudent‘svassessmentvofvthatvmaterial.vPleasevrefervtovthevsamplevwritingvassignme
ntvrubricvinvthevsolutionsvmanual.
Section:v1.1;vLO:v1.1;vBT:vC;vDiff:vE;vTOT:v20vmin;vAACSB:vT
3. Answer:vHigh-
qualityvresponsesvshouldvincludevavdiscussionvofvhowvwellvthevstudentvperformedvinvthevg
amevandvthevstudent‘svassessmentvwhethervthisvtypevofvlearningvplatformvisvhelpfulvforvot
hers.vStudentsvshouldvjustifyvtheirvresponses.vPleasevrefervtovthevsamplevwritingvassignm
entvrubricvinvthevsolutionsvmanual.
Section:v1.1;vLO:v1.1;vBT:vAn;vDiff:vM;vTOT:v20vmin;vAACSB:vC
4. Answer:vThevF.I.R.E.vmovementvmayvappealvtovindividualsvstudyingvpersonalvfinance.vThevn
otionvofvsavingvmoneyvearlyvifvlifevinvordervtovexitvthevjobvmarketvtovpursuevlifevdreams,vcomm
unityvservice,vandvwork-
lifevbalancevisvsomethingvthatvappealsvtovMillennialsvandvothersvwhovfindvworkingvtovbevrestri
ctive.vTherevarevnovcorrectvorvincorrectvanswersvtovthisvquestion.vAftervresearchingvthevmove
ment,vstudentsvmayvrealizevthatvthevrealityvofvfillingv30vtov50vyearsvofvdailyvexperiencevoutsid
evofvthevjobvmarketvmayvnotvbevmatchvthevdream,vespeciallyvifvthevretirementvbudgetvisvveryvti
ght.vPleasevrefervtovthevsamplevwritingvassignmentvrubricvinvthevsolutionsvmanual.
Section:v1.1;vLO:v1.1;vBT:vAn;vDiff:vM;vTOT:v20vmin;vAACSB:vC
ExpandedvLearningvActivity
Answer:vHigh-
qualityvresponsesvshouldvdiscussvthevresultsvofvthevresearchvandvhowvthosevresultsvrelatevt
ovfinancialvplanning.vPleasevrefervtovthevsamplevwritingvassignmentvrubricvinvthevsolutionsvm
anual.
Section:v1.1;vLO:v1.1;vBT:vE;vDiff:vH;vTOT:v120vmin;vAACSB:vC
1.1 Practice Questionsv
(ThevPracticevQuestionsvdovnotvappearvinvthevprintedvtextbook.vAutogradablevversionvisvavailablevi
nvyourvWileyvcourse,vwithvalgorithmicallyvchangingvvaluesvwhenvapplicable.)
1. Whichvofvthevfollowingvelementsvinfluencevyourvviewvofvthevfinancialvworld?
I. Yourvriskvtolerance.
II. Howvmuchvyouvbelievevyouvcontrolvyourvfinancialvfuture.
© John Wiley & Sons, Inc. or the author, All rights reserved. Instructors who are authorized users of this course are permitted to
download these materials and use them in connection with the course. Except as permitted herein or by law, no part of these
materials should be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical,
photocopying, recording or otherwise.
