Test your basic knowledge |

DSST Personal Finance 2

Subjects : dsst, personal-finance, bvat
  • 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. Only responsible for the building and the property in the case of an event like fire - water damage

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

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

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

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

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

7. A plan for managing your money for a given period of time

8. Ability to convert to cash and maintain value

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

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

11. 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.

12. Time - amount of money - rate of interest

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

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

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

16. Using computers to carry out transfers of money

17. Equifax - Experian - TransUnion

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

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

20. 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.

21. 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

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

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

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

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

26. Pursues payments on debts owed by individuals or businesses

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

28. Lenders must disclose all costs of credit

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

30. 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

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

32. Spreading out investments to reduce risk

33. 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.

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

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

36. The portion of corporate profits paid out to stockholders

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

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

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

40. The availability of a good or service

41. The value of buying one item over another

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

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

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

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

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

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

48. Responsible for their own personal belongings in the case of an event like fire - water damage

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

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