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Basics Beginner: Things to Ask Yourself about Large Purchases

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1.
Which answer is most correct regarding the use of credit when making a major purchase?
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B and C. All efforts should be made to avoid using credit cards, but there are occasions when they can and should be used.
2.
Which of the following are advantages of buying used rather than new?
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All of the above. There are even more advantages than these; for example, you might still get some kind of a warranty.
3.
Which of the following are conditions for determining whether a purchase is a major one?
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All of the above. People use any or all of these to determine whether something they want to buy qualifies as a major purchase.
4.
What is perhaps the best way to decide if a purchase is a major one?
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The best way to decide if a purchase is major is by considering either how long the product will be of value and/or how much the product costs, and/or if it is already part of your budget. Family budgets can often be compared to those of small businesses.
5.
A luxury item is typically a _______.
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Want. Luxury items are typically not necessities and are therefore wants.