Savings and Investments - Unit 1 Flashcards

Vocabulary flashcards covering the concepts of savings, wasteful expenditure, and non economical spending based on Unit 1 notes.

Savings

The activity of setting aside a part of cash/kind for further use, defined as the portion of disposable income not spent on consumption.

Wasteful expenditure

Spending money intended for a specific purpose, such as fulfilling stationary requirements, on an entirely different purpose like chocolates and ice creams.

Non economical spending

Spending an entire sum of money intended for all requirements on a single costly item, such as buying only one note book, where the value of money is not realized.