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. Using computers to carry out transfers of money






2. 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






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






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






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






6. The value of buying one item over another






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






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






9. 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






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






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






12. The possibility for loss on an investment






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






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






15. The increase in price of goods and services






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






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






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






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






20. Time - amount of money - rate of interest






21. 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






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






23. Enforces securities laws and regulates the securities industry






24. 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.






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






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






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






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






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






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






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






32. The availability of a good or service






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






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






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






36. 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.


37. A fixed charge for borrowing money






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






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






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






41. The desire of a good or service






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






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






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






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






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






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






48. Ability to convert to cash and maintain value






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






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