Personal Finance Review
The central banking organization of the United States is called the _____.
Federal Reserve System
The total dollar amount you pay to use credit is the _____.
Finance Charge
Someone who enjoys nature and the outdoors may have an aptitude for a career in _____.
Forestry Management
An example of a tax-exempt benefit is _____.
Free Life Insurance
The interest is tax deductible on a __________.
Home Equity Loan
What is the largest financial asset for most Americans?
Home Ownership
When shopping, avoid _____.
Impulse Buying
A good budget has all of the following characteristics EXCEPT _____.
Inaccessibility
A cash flow statement gives you important feedback on your _____.
Income and Spending Patterns
A disadvantage of using a safe-deposit box for keeping financial documents is that it _____.
It can cost $100 a year to rent.
A zero-coupon bond differs from other bonds because _____.
It provides no interest payments.
Disagreements in small claims courts are usually settled by _____.
Judges
In a Chapter 13 bankruptcy, the debtor usually gets to _________.
Keep most of his or her property.
A demographic trend that has boosted careers in health, physical fitness, and recreational products is more _____.
Leisure Time
A higher interest rate is usually the trade off for a _________.
Long-Term Loan
Financial plans that are more than five years off are called ______.
Long-term Goals
Compared with commercial banks, credit unions generally offer _____.
Lower fees and loan rates
A good time to find a bargain on a swimsuit is at a(n) _____.
Mid-season Sale
Renting is often a wise choice for someone who wants
Mobility
In which kind of savings plan does the interest rate vary from month to month?
Money Market
Preferred stock offers investors all the following advantages EXCEPT _________.
More potential growth than common stock.
Of the following investments, the one with the most predictable income is _______.
U.S. Savings Bond
One use of discretionary income is spending it on ______.
Videos
Which of the following financial services is best suited for saving money over a period of years?
Certificate of Deposit
Only a fixed number of shares are issued for an _____.
Closed-End Fund
An apartment building is considered _____.
Commercial Property
The first step in balancing a check is ________.
Comparing checks in the check record with those on the statement.
Better Business Bureaus handle _____.
Complaints against local merchants.
To earn high interest rates on a certificate of deposit, you must accept all of the following limitations EXCEPT _____.
Completing a monthly bank reconciliation.
Earning interest on previously earned interest is called ______.
Compounding
An advantage of direct selling is _____.
Convenience
An investor can trade a bond for shares of the corporate stock if the bond is a _______.
Convertible Bond
An example of open-end credit is a(n) _______.
Credit Card Charge
What is the formula for calculating the total return on a stock?
Current Return + Capital Gain
Stock that has steady earnings and continues paying dividends even during economic declines is known as _____.
Defensive Stock
The ways in which people make, distribute, and use their goods and services is called the _____.
Economy
An example of a variable expense is _____.
Electric Bills
If you deposit $100 in an account with annual interest rate of 6 percent compounded monthly, after 12 months you will have __________.
$106.18
A home inspector is responsible for ______.
Evaluating the house and the land.
A series of equal regular deposits is called _____.
An Annuity
.
.
A marketplace where brokers meet to buy and sell stock is called _____.
A Primary Market
A pension plan is a _____.
A retirement plan funded in part by employers.
A participation feature provides preferred stockholders stockholders with ______.
A share in the earnings that remain after required and stated dividends are paid.
A drawback of paying on credit is having _____.
Additional Fees
What is the formula for computing the approximate market value of a bond?
Amount of Annual Interest / Interest Rate of New Bonds
The investment that offers the highest rate of interest is _____.
An Agency Bond
When writing a check, include all of the following EXCEPT _________.
An endorsement on the back.
A position in which a person receives training by working with people who are experienced in a particular field is called _____.
An internship.
In recent years, some of the fastest growing job markets have been in _____.
Arizona
Products often purchased using price negotiation are _____.
Automobiles
The Federal Deposit Insurance Corporation insures depositors against losing their money in the case of a _____.
Bank Failure
An example of a financial magazine that provides information about specific companies is ______.
Barron's
Financial professionals consider in AT&T _____.
Blue-Chip Stocks
Which is not a speculative investment?
Bonds
Credit cards allow you to _____.
Borrow money for a short term
You will earn a higher interest rate when you _____.
Buy a certificate of deposit.
An example of a short-term investment strategy is _______.
Buying stock on margin.
Which question should you ask when selling real estate?
Can the buyer get the required financing?
Which of the 'five C's of credit" require that a person's assets exceed his or her liabilities?
Capacity
Diversification is a key reason for buying a _____.
Mutual Fund
Most over-the-counter stock is traded through ________.
NASDAQ
How should a cardholder begin to correct a mistake on a credit card bill?
Notify the creditor in writing.
The trade-off made by making one choice instead of another is commonly referred to as ______.
Opportunity Cost
The listing price is the amount that the ______.
Owner asks for the house.
"Growth" companies typically reinvest their profits rather than _____.
Pay Dividends
What might a buyer do to get a low interest rate?
Pay Points
Your net worth goes up when you _____.
Pay off previous debts
Credit card holders are known as convenience users when they __________.
Pay off their balances each month.
Spending, saving, and investing to have the kind of life you want and financial security can be achieved by _____.
Personal Financial Planning
Factors that affect financial markets are _________.
Political and Social Conditions
A lender may ask a buyer to deposit money in an escrow account for paying _____.
Property Taxes
The purpose of the Dow Industrial Average is to ________.
Provide Statistical Averages
A savings option many employers offer is _____.
Putting paycheck deductions in employees' retirement funds
The lowest price is generally the wisest choice when _____.
Quantity and quality are basically the same.
Your biggest monthly expense as a tenant is the ________.
Rent
Many government-guaranteed loans offer lower interest rates because they are ______.
Repaid by the government if the borrower defaults.
A disadvantage of renting is ________.
Restricted Activities
An advantage of a cooperative is that it _____.
Saves its members money
An example of a liquid asset is a _____.
Savings Account
The largest financials advisers are monitored by the __________.
Securities and Exchange Commission
A stop order requests that a stockbroker ________.
Sell a stock for a specific amount
Hair-styling and bookkeeping are examples of _____.
Services
The first step in planning a budget is _____.
Setting Financial Goals
Saving for vacation next summer or paying off small debts by the end of the year are examples of _____.
Short-term Goals
The court system set up by every state to settle minor disagreements is called _____.
Small Claims Court
By law, an employer must pay for a portion of _____.
Social Security
A corporation gets its equity capital from its ________.
Stockholders
the Consumer Credit Counseling Service offers to _______.
Supervise debt repayment plans.
The amount of goods and services available for sale is called _____.
Supply
Short-term capital gains are _______.
Taxed as ordinary income
Short-term capital gains are _____.
Taxed as ordinary income.
An example of a current liability is _____.
Taxes
Good places to look for job listings include all of the following EXCEPT _____.
The Occupational Outlook Handbook
A bank pays the full amount of a mortgage to _______.
The Seller
A typical corporate bond states all the following facts about the bond EXCEPT ______.
The amount of interest paid.
A credit bureau is required to follow reasonable procedures to make sure that __________.
The information in a person's file is correct.
A cover letter gives a potential employer _____.
The reason you want a particular job.
An example of an attached home is a _________.
Townhouse
High interest rates are likely to reduce employment opportunities in _____.
construction
