1. Vocabulary: Financial planning What Do These Financial Planning Terms Mean? Match the terms relating to the basic terminology and concepts associated with the process, techniques of personal financial planning, and the environment in which it is conducted on the left with the descriptions of the terms on the right. Read each description carefully and type the letter of the description in the Answer column next to the correct term. These are not necessarily complete definitions, but there is only one possible answer for each term. Answer Term Standard of Living Business Cycle Interest Inflation Marginal Tax Rate Description A. The value of the best alternative not selected in a decision or trade-off. B. A steady and sustained increase in general price levels across economic sectors. C. The general method used to compare the value of cash flows occurring across time-by either calculating the future value of cash flows available today or determining today's value of cash flows occurring in the future. D. Employment compensation received in a form other than wages, salaries, commissions, or a , other cash payments. . E. The general term used to describe a professional who provides financial evaluations and advice and who receives compensation in the form of commissions, fees, or some combination thereof. F. The price of borrowed money. G. The term used to describe the tax rate applied to the last dollar of income earned. H. The general term used to describe the wavelike pattern of rising and falling economic activity, consisting of expansions, peaks, contractions, and troughs. I. The act of evaluating two things, selecting between them, and giving up one thing for another. J. The material well-being and peace of mind that individuals or groups earnestly desire and seek to attain, to maintain if attained, to preserve if threatened, and to regain if lost. Time Value of Money Opportunity Cost Trade-off - Financial Planner Employee Benefit Grade It Now Save & Continue & Continue without saving