What Is the Best Technique for Keeping Track of Expenses

question 2

Multiple Choice

What is the best technique for keeping track of expenses?

• A)By paying with a debit card or credit card
• B)By paying with cash and carefully tracking receipts
• C)By using an envelope budgeting system
• D)By using a pay yourself first budgeting system

---

Definitions:

Hindsight Bias

A cognitive bias where people overestimate their ability to have predicted an outcome that could not possibly have been predicted.

Illusory Correlations

The mental tendency to assume a connection between two factors even if there is none.

Online Trading

The act of buying and selling financial products through an online trading platform.

Market Savvy

Possessing practical knowledge or understanding of the market, often used in the context of making smart business or investment decisions.