Wednesday, March 25, 2009

Compound Interest and the Rule of 72

Compound Interest is unpaid interest that is accumulated on the original principal.
Rule of 72 is a rule that finds the number of years that will double your investment.

What is it about compound interest that inspired Albert Einstein to say "The most powerful force in the universe is compound interest."

Tuesday, March 10, 2009

"My Recession Spending"

I can't really alter my own spending habits because I don't have any bad spending habits. I don't really ask my parents for money to buy clothes, games and anything for personally needs. When I need money to buy something for school, something important or if I have to go somewhere
my parents will give me the money. So, every week my parents give me an allowance of $20 dollars and I have to choose to save it or spend it. When I really want something I have to save my money and wait until i get all the money together to buy it. What going to do differently during "The Great Recession" is try not to spend a lot of money, only when I really need it and not on things that i really don't need.