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






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






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






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






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






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






7. Interest rates - length of time to borrow money






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






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






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






11. The availability of a good or service






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






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






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






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






16. Ability to convert to cash and maintain value






17. 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






18. Enforces securities laws and regulates the securities industry






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






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






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






22. Can be profitable - liquid






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






24. The value of buying one item over another






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






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






27. Risky






28. 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.






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






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. Expenses that change from month to month






32. The desire of a good or service






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






34. Pursues payments on debts owed by individuals or businesses






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






36. Time - amount of money - rate of interest






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






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






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






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






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






42. A fixed charge for borrowing money






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






44. The portion of corporate profits paid out to stockholders






45. 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.






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






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






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






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






50. Using computers to carry out transfers of money