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. Expenses that change from month to month






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






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






4. 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.


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






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






7. Equifax - Experian - TransUnion






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






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






10. 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






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






12. Risky






13. 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.






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






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






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






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






18. Interest rates - length of time to borrow money






19. Lenders must disclose all costs of credit






20. The desire of a good or service






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






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






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






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






25. The value of buying one item over another






26. The portion of corporate profits paid out to stockholders






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






28. Enforces securities laws and regulates the securities industry






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






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






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






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






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






34. Spreading out investments to reduce risk






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






36. Using computers to carry out transfers of money






37. The availability of a good or service






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






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






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






41. The increase in price of goods and services






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






43. Can be profitable - liquid






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






45. 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






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






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






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






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






50. 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