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. Ability to convert to cash and maintain value






2. 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.


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






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






5. A major stock exchange that handles trades through a computerized network - 2nd largest stock exchange






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






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






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






9. Allows pay back of debt with more time - court oversees repayment of plan






10. 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






11. The possibility for loss on an investment






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






13. Lenders must disclose all costs of credit






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






15. Risky






16. Source of information in determining a fair price for a vehicle - new or used






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






18. Econoomy - interest rates - supply and demand of housing market - treasury bond rates






19. The money an investor receives above and beyond the sum of money initially invested






20. 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






21. A report of an individual's credit history prepared by a credit bureau and used by a lender in determining a loan applicant's creditworthiness.






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






23. The desire of a good or service






24. Spreading out investments to reduce risk






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






26. The money left to spend or save after taxes have been paid






27. The value of buying one item over another






28. Using computers to carry out transfers of money






29. The Federal Reserve committee responsible for open market operations and managing the money supply in the United States






30. 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






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






32. Be careful using credit cards - understand how much debt you have - pay off debt ASAP - pay off in full and on time - consolidate credit cards to low interest rate card






33. A way to guarantee your financial protection against various risks






34. Enforces securities laws and regulates the securities industry






35. Money set aside for unforseen expenses in case of injury - loss of job or extra expenses






36. Account to help you save money and earn a small amount of interest at the same time






37. Pursues payments on debts owed by individuals or businesses






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






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






40. Properties or assets that are offered to secure a loan or other credit; subject to seizure upon default






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






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






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






44. The availability of a good or service






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






46. Can be profitable - liquid






47. Set costs that must be paid such as rent - insurance - and car payments






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






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






50. Equifax - Experian - TransUnion