Bell Work List all of the ways you can buy or get something you need. (think of ways you have done this throughout your life) Out of all of ways listed above how many of them did you use money? How many did you not use money? What money is?

Money

What is money?

What is money? Anything that serves as a: medium of exchange unit of account store of value

Medium of Exchange Anything used to determine the value during the exchange of goods or services

Unit of Account A means for comparing the value of goods and services

Money as a Store of Value Something that keeps its value when it is not used

Money from around the world

Money from around the world Exchange rate of 35 quadrillion = $1 U.S. 35,000,000,000,000,000

Six Characteristics of Money Durability Portability Divisibility Uniformity Limited Supply Acceptability

Must be accepted elsewhere Acceptability Must be accepted elsewhere

Must withstand physical wear and tear Durability Must withstand physical wear and tear

Must be easily divided into smaller denominations Divisibility Must be easily divided into smaller denominations

Does not have an unlimited supply, must be controlled

Any two units of money must be the same Uniformity Any two units of money must be the same

Must be easily carried in every day activities Portability Must be easily carried in every day activities

Banking Today Story time

What happens to the money in your savings account?

First - You save $1,000…

Then - 80% of your money is loaned to Sheldon Cooper to help him buy a car

The car dealership who sold cooper the car now has enough money to hire Tony McShady

Tony gets arrested for fraud and uses the majority of his paycheck to bail himself out of Joliet prison

The city of Joliet uses Tony’s bail money to help build a new public park.

Three days later, Little Jessica Toodles was playing on the new public park and severely broke her shoulder.

Jessica Toodles family had to use all of their $12,000 vacation fund on her shoulder surgery.

This made Jessica Toodle’s older brother, Jimmy, very angry

Little Jimmy headed over to the Field Museum in Chicago…

Out of pure anger towards his sister, Little Jimmy sets the T-Rex on fire

Soon, the T-Rex fire spreads throughout the entire city of Chicago

Because of the extensive damage, the City of Chicago refused to rebuild itself and has resulted in desertion….

All of this happened because you were SELFISH and decided to save $1,000. Way to go!

Why do we put money in a savings account?

What is an interest rate? A rate that is charged to borrow money Car loan, education loan, home loan, etc For example:

Which loan should you pay off first?

Does a bank ever borrow money from you? YES!!! Savings account Checking account Certificate of Deposits (CDs) Bonds Mutual Funds And more…

different ways you can buy things today