Test your basic knowledge |

DSST Personal Finance 2

Subjects : dsst, personal-finance, bvat
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. The possibility for loss on an investment






2. Debts due within the next year (ex: loans - credit cards)






3. Insured interest earning savings account with restricted access to the fund; not as easy to get liquid as a savings account






4. Legal process in which some or all of the assets of a debtor are distributed among the creditors because the debtor is unable to pay his or her debts; the legal process of getting out of debt






5. Protects depository institution accounts - incures commercial banks and savings and loan






6. The desire of a good or service






7. The total amount of an employee's earnings before deductions are taken out






8. Time - amount of money - rate of interest






9. A fixed charge for borrowing money






10. Using computers to carry out transfers of money






11. Allows to erase debt - must be unemployed of low income - must seek counseling - keeps only exempt property






12. Goal in which you plan to prepare for and reach in the distant future - over 5 years






13. Interest calculated on both the principal and the accrued interest (daily - monthly - quarterly - semi-annually - annually)






14. Lenders must disclose all costs of credit






15. Enforces securities laws and regulates the securities industry






16. The value of buying one item over another






17. A log of the financial habits of a person who buys on credit.






18. Disposable income available for spending and saving after an individual has purchased the basic necessities of food - clothing - and shelter






19. Interest paid on the principal alone (I=p x r x t)






20. The availability of a good or service






21. Ability to convert to cash and maintain value






22. Regulates banks - makes short term loans to banks - conducts monetary policy






23. Income risk - personal risk - liquidity risk - interest rate risk






24. Consumer Price Index is the measure that examines the weighted average of prices of a basket of consumer goods and services - such as transporation - food and medical care.


25. The increase in price of goods and services






26. Spreading out investments to reduce risk






27. Protects you from the probability that injury - damage or loss will occur






28. Taking a certain amount of all money you receive and saving it to be used for spending on longer-term goals.






29. Items you need to survive ex: food - water






30. You owe money (ex: credit card - loan)






31. Equifax - Experian - TransUnion






32. High-priced common stocks that have been strong - profitable stocks for a long period of time.






33. Carefully planned - practical - flexible - written and accessible






34. Goal in which you plan to reach in the near future - one year or less






35. Salary - wages - interest - campital gains - commission






36. A card (usually plastic) that enables the holder to withdraw money or to have the cost of purchases charged directly to the holder's bank account






37. Items for enjoyment ex: eating out - entertainment - luxury items






38. To borrow money from a bank to purchase an item and pay for it over time






39. Investment that pools money from many investors to invest in stocks - bonds and other securities






40. An indicator of stock market prices; based on the share values of 30 blue-chip stocks listed on the New York Stock Exchange






41. The price of an item will go down if there is little demand or low supply. The price of an item will go up if there is a lot of demand or high amounts of supply.






42. Only responsible for the building and the property in the case of an event like fire - water damage






43. Formula used to calculate how many years it would take to double an investment






44. You are being paid for it (ex: investment)






45. Agree to be responsible for loan payments if the other person can't make them






46. A term that describes investments on which earnings are not taxed until retirement (ex: 401k - IRA)






47. The total earnings paid to an employee after payroll taxes and other deductions






48. Cost of credit in the form of the interest rate charged for a full year - cost of credit expressed as a yearly percentage






49. Oldest and largest by volume traded and market cap (2800 companies) - issued at least 1 million shares worth $100 million - earned more than $10 million in last 3 years






50. Stocks that pay low dividends - but are expected to grow