Everfi vocab

If a person has liability insurance, what would they be covered for?

Repairing damage to other cars if they got into an accident that was their fault

_ is a small piece of ownership in a company.

Stock

Even if it costs $150 per month, having health insurance can save money over time.

TRUE

Over time, the rate of return on most stocks is higher than 5%.

TRUE

Which of the following statements about buying and selling stock is true?

a stock exchange is the physical place where stocks are traded

__ are interest-earning loans to a company or government for a set amount of time. They are considered low-risk investments.

bonds

Ashley wants to use money from her checking account to make a purchase. Which payment method should she use?

debit card

JaQwan is responsible for paying $500 annually before his insurance covers costs. The $500 JaQwan must pay is best described as

deductible

_______ is withheld from a paycheck and is used to fund government services such as health care, national defense, and scientific programs.

federal income tax

Your grandpa is retiring next year. What would be an appropriate amount of risk to take with his investments?

lower risk, lower growth

What is the best strategy for avoiding credit card interest?

pay the full balance each month

Which factor has the biggest impact on a credit score?

payment history

What is a premium?

the amount you pay the insurance company for coverage

What might be one reason why a stock becomes more valuable over time?

the industry is growing the company is well-managed there is a lot of demand for the product all of these

Income earned on an hourly basis is called a:

wage

When deciding how to invest your money, which of the following is least important to know?

whether or not deposits can be made online