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 increase in price of goods and services






2. The possibility for loss on an investment






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






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






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






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






7. Using computers to carry out transfers of money






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






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






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






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






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






13. Interest rates - length of time to borrow money






14. Risky






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






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






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






18. 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






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






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






21. The availability of a good or service






22. The desire of a good or service






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






24. 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






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






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






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






28. Enforces securities laws and regulates the securities industry






29. Lenders must disclose all costs of credit






30. Can be profitable - liquid






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






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






33. Time - amount of money - rate of interest






34. 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






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






36. 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.






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






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






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






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






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






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






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






44. Spreading out investments to reduce risk






45. 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.






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






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






48. Expenses that change from month to month






49. 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






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