Why Is It Important to Monitor and Revise Your Financial

question 81

Multiple Choice

Why is it important to monitor and revise your financial plan from time to time?

• A) Your financial position changes over time as does your personal, job, and family situation.
• B) As you get older you will want to lower your goals.
• C) So that you remember the goals you were striving for.
• D) You may decide enjoying consumption now is more important than saving for retirement years.

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Definitions:

Weak Situation

Contexts in which social norms, cues, or other situational factors are ambiguous, allowing for a greater variety of behaviors and making personal dispositions more influential.

Personality Differences

Variations in the patterns of thinking, feeling, and behaving that distinguish individuals from one another.

Situationism

The theory that behavior is determined more by situations than by personality traits.

Locus Of Control

A psychological concept that refers to individuals’ beliefs about the extent to which outcomes in their lives are under their own control versus external forces.