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






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






4. The availability of a good or service






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






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






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






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






9. Pursues payments on debts owed by individuals or businesses






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






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






12. 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






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






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






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






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






17. The increase in price of goods and services






18. 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






19. The value of buying one item over another






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 way to guarantee your financial protection against various risks






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






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






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






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






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






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






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






29. Ability to convert to cash and maintain value






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






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






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






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






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






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






36. Expenses that change from month to month






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






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






39. Risky






40. Enforces securities laws and regulates the securities industry






41. A fixed charge for borrowing money






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






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






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






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






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






47. Lenders must disclose all costs of credit






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






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






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