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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. Set costs that must be paid such as rent - insurance - and car payments
tax deferred
long term goals
fixed expenses
National Association of Securities Dealers Automated Quotations (NASDAQ)
2. 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
savings account
gross pay
budget
tips for using credit wisely
3. The availability of a good or service
Law of Supply and Demand
certificate of deposit or CD
electronic banking
supply
4. You owe money (ex: credit card - loan)
tax deferred
Federal Deposit Insurance Corporation (FDIC)
interest can be bad for you when....
net pay
5. Salary - wages - interest - campital gains - commission
factors that affect your income
co-signing a loan
debit card
interest can benefit you when...
6. Time - amount of money - rate of interest
time value of money
bankruptcy
Federal Open Market Committee (FOMC)
net pay
7. The increase in price of goods and services
inflation
insurance
disposable income
how insurance is related to risk management
8. A term that describes investments on which earnings are not taxed until retirement (ex: 401k - IRA)
discretionary income
interest can benefit you when...
tax deferred
interest
9. The value of buying one item over another
wants
opportunity cost
supply
Rule of 72
10. Allows to erase debt - must be unemployed of low income - must seek counseling - keeps only exempt property
chapter 7
National Association of Securities Dealers Automated Quotations (NASDAQ)
Pay Yourself First (PYF)
demand
11. The desire of a good or service
demand
compound interest
inflation
Rule of 72
12. Allows pay back of debt with more time - court oversees repayment of plan
chapter 13
Dow Jones
Tenant
mutual funds (MF)
13. The total earnings paid to an employee after payroll taxes and other deductions
net pay
blue chip stocks
collection agency or debt collector
long term goals
14. Responsible for their own personal belongings in the case of an event like fire - water damage
emergency fund
Tenant
how insurance is related to risk management
budget
15. Formula used to calculate how many years it would take to double an investment
3 major credit bureaus
Rule of 72
wants
tips for a successful budget
16. Money set aside for unforseen expenses in case of injury - loss of job or extra expenses
Federal Reserve System (FED)
emergency fund
chapter 13
tips for a successful budget
17. High-priced common stocks that have been strong - profitable stocks for a long period of time.
CPI's relation to inflation
Dow Jones
blue chip stocks
Kelley Blue Book
18. Using computers to carry out transfers of money
electronic banking
blue chip stocks
tips for a successful budget
dividend
19. Protects you from the probability that injury - damage or loss will occur
how insurance is related to risk management
things that affect loans
National Association of Securities Dealers Automated Quotations (NASDAQ)
emergency fund
20. Goal in which you plan to prepare for and reach in the distant future - over 5 years
things that affect loans
Law of Supply and Demand
long term goals
Rule of 72
21. The total amount of an employee's earnings before deductions are taken out
gross pay
Landlord
budget
wants
22. Stocks that pay low dividends - but are expected to grow
New York Stock Exchange (NYSE)
growth stocks
CPI's relation to inflation
blue chip stocks
23. 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.
24. Spreading out investments to reduce risk
Tenant
chapter 7
simple interest
diversification
25. Account to help you save money and earn a small amount of interest at the same time
factors that affect a mortgage
Kelley Blue Book
savings account
co-signing a loan
26. Properties or assets that are offered to secure a loan or other credit; subject to seizure upon default
time value of money
collateral
gross pay
demand
27. Risky
reasons not to invest in stocks
tips for using credit wisely
reasons to invest in stocks
inflation
28. A way to guarantee your financial protection against various risks
dividend
diversification
insurance
short term debt
29. Interest rates - length of time to borrow money
variable expenses
Annual percentage rate (APR)
dividend
things that affect loans
30. Disposable income available for spending and saving after an individual has purchased the basic necessities of food - clothing - and shelter
discretionary income
Rule of 72
financing an item
Securities and Exchange Commission (SEC)
31. To borrow money from a bank to purchase an item and pay for it over time
wants
co-signing a loan
financing an item
3 major credit bureaus
32. Taking a certain amount of all money you receive and saving it to be used for spending on longer-term goals.
factors that affect your income
Pay Yourself First (PYF)
blue chip stocks
short term goals
33. Only responsible for the building and the property in the case of an event like fire - water damage
bankruptcy
Pay Yourself First (PYF)
factors that affect a mortgage
Landlord
34. 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.
financing an item
credit report
short term goals
diversification
35. Protects depository institution accounts - incures commercial banks and savings and loan
Federal Deposit Insurance Corporation (FDIC)
emergency fund
insurance
Federal Open Market Committee (FOMC)
36. 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
debit card
variable expenses
Securities and Exchange Commission (SEC)
tips for a successful budget
37. Expenses that change from month to month
variable expenses
dividend
risk
discretionary income
38. The money left to spend or save after taxes have been paid
short term debt
opportunity cost
disposable income
gross pay
39. The Federal Reserve committee responsible for open market operations and managing the money supply in the United States
chapter 13
New York Stock Exchange (NYSE)
Federal Open Market Committee (FOMC)
variable expenses
40. Items for enjoyment ex: eating out - entertainment - luxury items
savings account
interest can be bad for you when....
wants
blue chip stocks
41. Items you need to survive ex: food - water
Securities and Exchange Commission (SEC)
needs
return
diversification
42. Econoomy - interest rates - supply and demand of housing market - treasury bond rates
factors that affect a mortgage
Kelley Blue Book
chapter 13
Tenant
43. Equifax - Experian - TransUnion
3 major credit bureaus
bankruptcy
Federal Open Market Committee (FOMC)
credit record
44. An indicator of stock market prices; based on the share values of 30 blue-chip stocks listed on the New York Stock Exchange
Tenant
Dow Jones
inflation
time value of money
45. Regulates banks - makes short term loans to banks - conducts monetary policy
gross pay
Federal Reserve System (FED)
time value of money
tips for a successful budget
46. A major stock exchange that handles trades through a computerized network - 2nd largest stock exchange
Federal Reserve System (FED)
wants
National Association of Securities Dealers Automated Quotations (NASDAQ)
factors that affect your income
47. Debts due within the next year (ex: loans - credit cards)
short term debt
interest
savings account
gross pay
48. Carefully planned - practical - flexible - written and accessible
variable expenses
collection agency or debt collector
tips for a successful budget
Rule of 72
49. Can be profitable - liquid
savings account
reasons to invest in stocks
Landlord
co-signing a loan
50. A fixed charge for borrowing money
interest
CPI's relation to inflation
electronic banking
bankruptcy