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. Time - amount of money - rate of interest






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






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






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






5. Expenses that change from month to month






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






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






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






9. 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






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






11. 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






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






13. Enforces securities laws and regulates the securities industry






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






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






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






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






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






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






20. Interest rates - length of time to borrow money






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






22. 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






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






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






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






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






27. Spreading out investments to reduce risk






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






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






30. Ability to convert to cash and maintain value






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






32. 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.


33. The availability of a good or service






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






35. The desire of a good or service






36. Risky






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






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






39. Lenders must disclose all costs of credit






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






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






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






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






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






45. Can be profitable - liquid






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






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






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






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






50. 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.