FCS340 Concept Check Questions | Questions with 100%
Verified Answers | Latest Update 2026/2027
Question: Distinguish among financial success, financial security, and financial happiness.
Answer: Financial Success:
Achievement of financial aspirations. It is defined by the person who seeks it.
Financial Security:
Feeling that your financial resources will be adequate to fulfill any needs.
Financial Happiness:
Experience you have when you are satisfied with your finances. Results from
practicing
good financial behaviors.
Question: Explain the five fundamental steps in the financial planning process.
Answer: (1) Evaluate your financial condition relative to your education and career choice
(2) Define your financial goals
(3) Develop a plan of action to achieve your goals
(4) Implement your plan
(5) Review your financial progress and make changes as appropriate
Question: What are the building blocks to achieving financial success?
Answer: Foundation: regular income
Base: Checking account, savings account, insurance protection, employee benefits
Establish: Long-term goals, short-term goals, financial records, budget, emergency
savings
Manage: Housing expenses, transportation expenses, insurance, expenses, income
taxes
Handle: Credit cards, saving accounts, education costs
Invest: Mutual funds, stocks and bonds, real estate, retirement plans
Achieve: Financial Success
Question: Summarize the phases of the business cycle (economic cycle).
Answer: Expansion: when the economy is increasing
Peak: the end of an expansion and the beginning of a contraction
Contraction: when the economy is falling
Through: the end of a contraction and the beginning of an expansion
Verified Answers | Latest Update 2026/2027
Question: Distinguish among financial success, financial security, and financial happiness.
Answer: Financial Success:
Achievement of financial aspirations. It is defined by the person who seeks it.
Financial Security:
Feeling that your financial resources will be adequate to fulfill any needs.
Financial Happiness:
Experience you have when you are satisfied with your finances. Results from
practicing
good financial behaviors.
Question: Explain the five fundamental steps in the financial planning process.
Answer: (1) Evaluate your financial condition relative to your education and career choice
(2) Define your financial goals
(3) Develop a plan of action to achieve your goals
(4) Implement your plan
(5) Review your financial progress and make changes as appropriate
Question: What are the building blocks to achieving financial success?
Answer: Foundation: regular income
Base: Checking account, savings account, insurance protection, employee benefits
Establish: Long-term goals, short-term goals, financial records, budget, emergency
savings
Manage: Housing expenses, transportation expenses, insurance, expenses, income
taxes
Handle: Credit cards, saving accounts, education costs
Invest: Mutual funds, stocks and bonds, real estate, retirement plans
Achieve: Financial Success
Question: Summarize the phases of the business cycle (economic cycle).
Answer: Expansion: when the economy is increasing
Peak: the end of an expansion and the beginning of a contraction
Contraction: when the economy is falling
Through: the end of a contraction and the beginning of an expansion
