Financial Decision Making

PART 1

5 Day Disney world Vacation for family
Cost: $14,500
New House
Cost $450,000
Lexus LC 500
Cost $105,000

Assume you are going to make a purchase decision on whether or not to buy one of the three potential big-ticket items listed above. Choose one to evaluate and answer the following questions:

  1. What decision did you make and why?
  2. How comfortable would you feel making this decision and why?
  3. What financial information would you need to make the decision and why?
  4. What non financial factors would also play a role in your decision to either purchase or not purchase this item?

Decision made off of an annual income of $105,000.

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