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. The value of buying one item over another






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






3. The possibility for loss on an investment






4. Interest rates - length of time to borrow money






5. Can be profitable - liquid






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






7. Time - amount of money - rate of interest






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






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






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






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






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






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






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






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






16. 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






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






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






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






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






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






22. The desire of a good or service






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






24. Enforces securities laws and regulates the securities industry






25. 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.


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






27. Using computers to carry out transfers of money






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






29. 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.






30. A fixed charge for borrowing money






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. Ability to convert to cash and maintain value






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






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






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






36. Equifax - Experian - TransUnion






37. The portion of corporate profits paid out to stockholders






38. 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






39. The increase in price of goods and services






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






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






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






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






44. Expenses that change from month to month






45. Pursues payments on debts owed by individuals or businesses






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






47. Spreading out investments to reduce risk






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






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






50. Lenders must disclose all costs of credit