Chapter 1 - Making Most Of Your Resources

Question 1

What does resources mean?

Answer 1

Anything which we can use to help meet our need or achieve goals. Useful and valuable and often limited or scarce. Access more important than ownership e.g.land

Question 2

What does needs mean?

Answer 2

Something we can’t do without , essential for our survival e.g. food , shelter

Question 3

What does wants mean?

Answer 3

Something we would really like, something which may improve our quality of life, but not essential

Question 4

What does financial cost mean?

Answer 4

This is the money costs of the item you choose to buy

Question 5

What does opportunity cost mean ?

Answer 5

Item we had to do without or the opportunity we had to forego , when we choose to buy something (e.g. i had 20euro and you see a red and a blue dress , you choose to but the red dress , the blue is the opportunity cost )

Question 6

What is the impact of resources being limited ?

Answer 6

-we cannot have everything we want
- force us to make choices between alternatives

Question 7

What does money mean ?

Answer 7

Anything of value

Question 8

Ways to be ‘money-smart’

Answer 8

• be able to save regularly
• understand the dangers of overspending and borrowing
• be able to live within your means
• when making choices between alternatives prioritising spending on the most essential items first