Question

in personal finance, one makes decisions based on needs vs. wants. what is considered a need?

• something one would like to have
• something ones does not budget for
• something one can afford
• something one cannot live without

Explanation:

To determine what a "need" is in personal finance, we analyze each option:

• "something one would like to have" describes a "want", not a need.
• "something one does not budget for" is incorrect as needs are typically budgeted for.
• "something one can afford" refers to affordability, not the definition of a need.
• "something one cannot live without" aligns with the definition of a need, as needs are essential for survival or basic functioning.

Answer:

D. something one cannot live without