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Test your basic knowledge |
DSST Personal Finance 2
Start Test
Study First
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 money left to spend or save after taxes have been paid
electronic banking
Federal Reserve System (FED)
inflation
disposable income
2. 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.
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3. A log of the financial habits of a person who buys on credit.
National Association of Securities Dealers Automated Quotations (NASDAQ)
credit record
financing an item
Kelley Blue Book
4. Disposable income available for spending and saving after an individual has purchased the basic necessities of food - clothing - and shelter
budget
discretionary income
3 major credit bureaus
net pay
5. Protects you from the probability that injury - damage or loss will occur
Pay Yourself First (PYF)
how insurance is related to risk management
Annual percentage rate (APR)
types of risk
6. 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
tips for using credit wisely
return
things that affect loans
Tenant
7. 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
chapter 7
interest
New York Stock Exchange (NYSE)
chapter 13
8. Regulates banks - makes short term loans to banks - conducts monetary policy
Federal Reserve System (FED)
Dow Jones
factors that affect your income
short term goals
9. Responsible for their own personal belongings in the case of an event like fire - water damage
Kelley Blue Book
Tenant
things that affect loans
risk
10. Goal in which you plan to reach in the near future - one year or less
3 major credit bureaus
certificate of deposit or CD
short term goals
inflation
11. Risky
savings account
reasons not to invest in stocks
factors that affect a mortgage
things that affect loans
12. Interest rates - length of time to borrow money
things that affect loans
reasons not to invest in stocks
long term goals
short term goals
13. Account to help you save money and earn a small amount of interest at the same time
tax deferred
savings account
net pay
types of risk
14. Can be profitable - liquid
reasons to invest in stocks
tax deferred
discretionary income
fixed expenses
15. Source of information in determining a fair price for a vehicle - new or used
Kelley Blue Book
dividend
factors that affect your income
fixed expenses
16. Interest calculated on both the principal and the accrued interest (daily - monthly - quarterly - semi-annually - annually)
Pay Yourself First (PYF)
compound interest
insurance
certificate of deposit or CD
17. Money set aside for unforseen expenses in case of injury - loss of job or extra expenses
emergency fund
demand
Securities and Exchange Commission (SEC)
factors that affect a mortgage
18. Investment that pools money from many investors to invest in stocks - bonds and other securities
Federal Deposit Insurance Corporation (FDIC)
mutual funds (MF)
long term goals
short term goals
19. Equifax - Experian - TransUnion
tips for a successful budget
short term debt
3 major credit bureaus
Pay Yourself First (PYF)
20. To borrow money from a bank to purchase an item and pay for it over time
savings account
financing an item
bankruptcy
tips for using credit wisely
21. The availability of a good or service
supply
compound interest
financing an item
reasons to invest in stocks
22. The portion of corporate profits paid out to stockholders
mutual funds (MF)
supply
dividend
fixed expenses
23. 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
reasons not to invest in stocks
chapter 7
debit card
savings account
24. The increase in price of goods and services
discretionary income
inflation
financing an item
interest can be bad for you when....
25. You are being paid for it (ex: investment)
interest can benefit you when...
simple interest
CPI's relation to inflation
needs
26. The desire of a good or service
things that affect loans
Landlord
factors that affect your income
demand
27. 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.
interest can benefit you when...
collection agency or debt collector
credit report
Pay Yourself First (PYF)
28. Carefully planned - practical - flexible - written and accessible
collection agency or debt collector
tips for a successful budget
net pay
opportunity cost
29. Properties or assets that are offered to secure a loan or other credit; subject to seizure upon default
collateral
Kelley Blue Book
fixed expenses
disposable income
30. Items you need to survive ex: food - water
time value of money
needs
reasons to invest in stocks
credit record
31. The total amount of an employee's earnings before deductions are taken out
gross pay
compound interest
CPI's relation to inflation
dividend
32. The value of buying one item over another
reasons not to invest in stocks
types of risk
opportunity cost
3 major credit bureaus
33. High-priced common stocks that have been strong - profitable stocks for a long period of time.
inflation
Law of Supply and Demand
blue chip stocks
tips for a successful budget
34. Lenders must disclose all costs of credit
Truth in Lending Act
Law of Supply and Demand
Kelley Blue Book
Dow Jones
35. The possibility for loss on an investment
factors that affect your income
collateral
risk
wants
36. Agree to be responsible for loan payments if the other person can't make them
Federal Deposit Insurance Corporation (FDIC)
gross pay
co-signing a loan
Truth in Lending Act
37. A plan for managing your money for a given period of time
budget
credit record
Federal Open Market Committee (FOMC)
CPI's relation to inflation
38. Items for enjoyment ex: eating out - entertainment - luxury items
short term debt
variable expenses
blue chip stocks
wants
39. Spreading out investments to reduce risk
needs
return
opportunity cost
diversification
40. Only responsible for the building and the property in the case of an event like fire - water damage
interest
types of risk
Landlord
risk
41. Interest paid on the principal alone (I=p x r x t)
New York Stock Exchange (NYSE)
short term goals
simple interest
liquidity
42. Stocks that pay low dividends - but are expected to grow
things that affect loans
growth stocks
tips for using credit wisely
short term debt
43. A fixed charge for borrowing money
short term goals
interest
variable expenses
gross pay
44. The Federal Reserve committee responsible for open market operations and managing the money supply in the United States
certificate of deposit or CD
needs
Pay Yourself First (PYF)
Federal Open Market Committee (FOMC)
45. Enforces securities laws and regulates the securities industry
debit card
reasons to invest in stocks
New York Stock Exchange (NYSE)
Securities and Exchange Commission (SEC)
46. 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
bankruptcy
wants
Law of Supply and Demand
Federal Open Market Committee (FOMC)
47. The total earnings paid to an employee after payroll taxes and other deductions
Tenant
net pay
demand
savings account
48. Protects depository institution accounts - incures commercial banks and savings and loan
tips for a successful budget
opportunity cost
factors that affect a mortgage
Federal Deposit Insurance Corporation (FDIC)
49. Goal in which you plan to prepare for and reach in the distant future - over 5 years
opportunity cost
certificate of deposit or CD
long term goals
tips for a successful budget
50. Allows to erase debt - must be unemployed of low income - must seek counseling - keeps only exempt property
co-signing a loan
net pay
gross pay
chapter 7