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. A way to guarantee your financial protection against various risks






2. 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






3. Spreading out investments to reduce risk






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






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






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






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






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






9. Lenders must disclose all costs of credit






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






11. Risky






12. 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.






13. 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






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






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






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






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






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






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






20. 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






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






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






23. The portion of corporate profits paid out to stockholders






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






26. Using computers to carry out transfers of money






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






28. Expenses that change from month to month






29. Can be profitable - liquid






30. Equifax - Experian - TransUnion






31. A fixed charge for borrowing money






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






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






34. Enforces securities laws and regulates the securities industry






35. Interest rates - length of time to borrow money






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






37. 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.


38. The increase in price of goods and services






39. The value of buying one item over another






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






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






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






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






44. The desire of a good or service






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






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






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






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






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






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