Question

Read the paragraph.

A little bit of planning can reap financial rewards. Consider Franco, who chooses to stash his allowance in a piggy bank until a need arises. Weeks later, Franco has money to spend on a meaningful item, unlike a hasty individual who splurges on candy. And study Lorena, the employee who refuses to spend a cent of her raise, opting to put the extra money in a high-interest account. Lorena resists the urge to spend extravagantly, and she is prepared when she is ready to buy a car or home. And of course, there is always the savvy investor who sees the potential in a new company and purchases inexpensive stock. When the company grows, so does the investor’s money.

Which activities support the central idea about financial planning? Select 3 options.

saving money in a piggy bank
making impulsive candy purchases
investing extra money to earn interest
spending lavishly as a personal reward
purchasing stock in a growing company

Answer 1

- saving money in a piggy bank
- investing extra money to earn interest
- purchasing stock in a growing company