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






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






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






4. Time - amount of money - rate of interest






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






6. Using computers to carry out transfers of money






7. Ability to convert to cash and maintain value






8. The possibility for loss on an investment






9. Interest rates - length of time to borrow money






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






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






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






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






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






15. Can be profitable - liquid






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






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






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






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






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






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






22. Lenders must disclose all costs of credit






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






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






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






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






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






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






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






30. The desire of a good or service






31. 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






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






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






34. Spreading out investments to reduce risk






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






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






37. 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.






38. A fixed charge for borrowing money






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






40. Risky






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






42. Expenses that change from month to month






43. 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.






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






45. 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






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






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






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






49. 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.


50. The value of buying one item over another