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Financial Literacy Vocab

Instructions:
  • Answer 50 questions in 15 minutes.
  • If you are not ready to take this test, you can study here.
  • Match each statement with the correct term.
  • Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. Commonly called 'take home pay'; it is your income AFTER all deductions and exemptions.






2. The percentage of the costs of medical services paid by the patient.






3. Interest calculated periodically on the loan principal or investment principal only & not on previously earned interest.






4. A contract between an individual and an insurance company where the individual makes a payments that are invested by the company and repaid to the individual at a later date & generally during retirement.






5. A non-cash contribution to a charitable organization which can be given a cash value.






6. Someone who knowingly deceives you for their own personal gain.






7. Money earned from investments and employment.






8. The value of the second-best alternative that a person gives up when making one choice instead of another.






9. The length of time & in years that it takes an amount of money saved to double when it receives compound interest. This length of time can be found by dividing the interest rate into 72.






10. A measure of the uncertainty of an investment's rate of return; possible losses.






11. Money earned from investments and employment.






12. A financial institution deposit account that pays interest and allows withdrawals. (SHORT term goals)






13. Someone who rummages through your trash looking for bills or other paper with your personal information on it.






14. A plan for managing money & dividing up expected income and expenses among spending and saving options based on personal goals during a given time period.






15. A plastic card used to deduct a purchase amount directly from your checking account.






16. An agreement to provide goods & services & or money in exchange for future payments with interest by a specific date or according to a specific schedule.






17. Anything subtracted from your gross income.






18. The process of setting income aside for future spending. Saving provides ready cash for emergencies and short-term goals & and funds for investing.






19. Someone who rummages through your trash looking for bills or other paper with your personal information on it.






20. The act of giving to charitable organizations or to those in need.






21. A set of principles or beliefs that govern an individual's actions.






22. A person or company to whom money is owed.






23. A legal organization providing services or activities without commercial or monetary gain.






24. An official record of a borrower's credit history & including such information as the amount and type of credit used & outstanding balances & and any delinquencies & bankruptcies & or tax liens.






25. A bank or credit union account that allows withdrawals by writing a check.






26. An establishment that collects and distributes credit history info. of individuals & business.






27. The percentage rate of interest charged to the borrower or paid to a lender & saver & or investor.






28. Taking risks with personal finances or personal assets






29. A person or company to whom money is owed.






30. An official record of a borrower's credit history & including such information as the amount and type of credit used & outstanding balances & and any delinquencies & bankruptcies & or tax liens.






31. The length of time & in years that it takes an amount of money saved to double when it receives compound interest. This length of time can be found by dividing the interest rate into 72.






32. An amount of money that the member or insured pays directly to a provider at the time services are rendered.






33. A system of values and principles of conduct that promotes good customs and virtues while condemning bad customs and vices.






34. A measure of the uncertainty of an investment's rate of return; possible losses.






35. The costs of goods and services & including those that are FIXED (rent & car loans) and those that are VARIABLE (food & clothing & entertainment).






36. Expenditures that change from week to week or month to month-- food & clothing & recreation & entertainment.






37. A measure of creditworthiness based on an analysis of the consumer's financial history & often computed as a numerical score & using the FICO or other scoring systems to analyze the consumer's credit.






38. Using a person's name or personal information without the person's permission to steal money or get other benefit.






39. Dollar amount or percentage of a loss that is not insured & as specified in an insurance policy.






40. A non-cash contribution to a charitable organization which can be given a cash value.






41. A set of principles or beliefs that govern an individual's actions.






42. A long-term loan to buy real estate including land and the structures on it.






43. The process used to determine What an individual wants to be & do or have (What a person wants to accomplish).






44. The belief that people should be taxed according to the benefits they receive from the good or service the tax supports. (Example- gas tax)






45. A person who owns property and rents it to another.






46. The act of giving to charitable organizations or to those in need.






47. A loan to finance the purchase of real estate & usually with specified payment periods and interest rates.






48. A statement about What a person wants to be & do & or have & accomplished by taking certain steps; provides direction to a plan of action.






49. The fee paid for insurance protection.






50. Commonly called 'take home pay'; it is your income AFTER all deductions and exemptions.