Cons Econ Exam Chapter 4 , 6, 8, 10

Antonio owns a trucking company. for safety legal and legal reasons, he must replace the tires on his truck every 50,000 miles. The purchase of these tires is considered a(n) __________________.

fixed expense

Vikki placed $3000 in a certificate of deposit for a one-year period of time. At the end of the year she had earned $150 in interest on her investment. Her original $3000 is known as _________.

principal

Ricardo has just graduated from collage and obtained an entry-level management position at a local store. In the next two years, his monthly income is $2,400. he realizes that he will need to prepare a budget worksheet. Before he can properly budget, he will need to______________ his goal.

prioritize

Dorothy decides to prepare a budget worksheet to help her reach her financial goals. This month she received a $300 cash birthday gift card from her grandmother and a $100 bonus at work. This $400 represents _______________ on her worksheet.

uneven income

A(n) __________ is an occupation which you have made a long-term commitment

career

The dollar value printed on a bond is a ________.

face value of the bond

If Maya places her $400 savings in an account that pays her 4% interest compounded quarterly, how much interest will she earned on her investment?

$16.24

Suppose you are running the living room chair for $9.95 per week. After you run it for 40 weeks the rent-to-own company says that you will own the chair. If you make all 40 payments, how much will the chair cost you?

$398

Silas deposited $750 in a savings account that pays 4% simple interest. How much money will he have in the account after one year?

$780

Madison's credit card payment is due on the 25th of every month. Because the 25th falls between two pay periods, she is often unable to make the regular payments on time. The credit card company charges her $25 each time for payment is late. This charge is known as______.

A penalty

As a real estate Allegra receive monthly commission checks. This month her commission check will be over $5000. She wants to place the entire $5000 in a safe investment for six months. given the amount she has to invest and her preferences, what would be her best choice?

A treasury bond

Recently Felix purchased a new home entertainment system. Hey finance company grand Felix the credit necessary to make the purchase. Felix signed the loan contract and have the system delivered to his home. For eight months Felix made regularly scheduled payments on the loan. Is the ninth month however he went out of town and forgot to make his loan payment on time. When he returned from the trip Felix receive the letter from the finance company demanding payment in full for the return of the entire system. What did Felix's credit contract include?

Acceleration clause

If Riley wants to purchase US government savings bonds, where can you go to purchase them? a. A bank or the post office b. credit union c. savings and loan associations d. all the above

All of the above

James and Vanessa both work and owned a home. Do you want to borrow $15,000 to buy a car to give their daughter as a college graduation present. what factors but lenders consider in computing James and Vanessa's credit rating when assessing their car loan application ? A. Current debt B. payment history C. number of credit cards D. all of the above

All of the above

Which of the following our sources of credit cards? A. Visa B. MasterCard C. American Express D. all the above

All of the above

Last year Gretchen signed up to receive several credit cards. I think she received them she mediately began using them to purchase books clothes jewelry Sound system DVD player and the television set. After four months she lost her job. Gretchen was far in debt and had no income. She completed the legal process through which a surrender her property to the court. In exchange the court ordered that she was no longer responsible for her debts. This process is known as_______.

Bankruptcy

In order for Marcos to easily compare the return on accounts at different banks, the law requires each bank to report that the actual interest rate that an account pays per year. This actual interest-rate is known as_________.

Annual percent you

A legal process in which people who cannot pay their debts surrender most of their property is called______.

Bankruptcy

While attending college Calab had a full-time job during those years he lived at the same address and always paid his rent and utilities on time lenders would look at his lifestyle and find him to be responsible they would grant him credit based on Calebs

Character

Angelina has saved enough money to make a down payment on your first car after selecting your car the dealership will work with her to make financing arrangements for a car loan the car itself will be used to back up or secure the car loan. It will serve as _____ for her loan

Collateral

Mui Thi has deposited $500 into a savings account at her local bank. She will earn interest on the principal as well as any previously earned interest. What type of interest will Mui Thi receive?

Compound interest

Asking another person usually a parent to agree to pay a debt for you if you become unable to pay is asking them to______The loan

Cosign

Borrowing money in return for the promise of future payment is called

Credit

A company that collects information about consumers' credit history and sells it to lenders is a ______.

Credit bureau

Each month Sabrina can charge up to $400 on her department store account. This $400 is no knows her

Credit limit

The maximum amount you are allowed to charge on your account is the_____.

Credit limit

A measure of your creditworthiness is your________.

Credit rating

Omar has several loans with low balances the high interest rates. He has decided to obtain a larger loan on a low interest rate in order to pay off the other loans. This loan is known as a(n) ________ loan.

Debt consolidation

Authorizing your employer to place a certain amount of each paycheck into your savings account is called a(n) ________.

Direct deposit

At savings bank depositors earn _________ rather than interest.

Dividends

Hannah is a recent cosmetology school got your who is looking for her first job as a manicurist. After readings Hannah's application, the owner of the beauty shop scheduled an interview with her. during the interview, Hannah is asked questions that she feels are appropriate and necessary. However she refused to answer one question "what is your religion?" the owner is surprised at her refusal to answer. still, Hannah knows that the ___________ forbids any employer from asking her this particular question.

Equal Employment Opportunity Act of 1964

In their native country Alfonse and Nuccia find it difficult to obtain credit because banks had different lending policies for different customers. Because of their race and national origin they expected to have similar difficulties in the United States after their immigration. How over the_______ prohibits lenders from refusing credit based on race color religion national origin sex marital status or Age

Equal credit opportunity act

The difference between the amount owed on a home in the homes value is the

Equity

When Kia purchase her series EE savings bond she paid $50. Over time, The bond will reach the hundred dollars value that is printed on it. This valley was known as the bond's _________.

Face value

But compared her credit card statement with her charge receipts and found a charge for $251.67 for jewelry that she never bought she contacted her credit card company disputing the charge the company must reply within 30 days and resolve the dispute with the 90 days. The__________ act allows consumers to correct such credit card billing mistakes

Fair credit billing

Troy was recently denied credit a local furniture store. Later he received a letter from the furniture store identifying the credit bureau that supplied its information used in making its lending decision. At this point, Troy has 30 days to request a free copy of his credit report from the credit bureau. What law created this processed giving Troy and other consumers a way to check the credit report when they are denied credit?

Fair credit reporting act

Orestes was hospitalized for two weeks. During this time he was unable to work. In addition to his lost income, he owes over $12,000 as his part of his medical expenses that were not covered by his health insurance. As a result he was not able to pay many of his credit cards and other loans on time. Debt collection agencies begin calling him regularly. When do collector even followed him to the grocery store and embarrassed him in front of other people. Will not is intended to prevent debt collection agencies from using the search abusive practices?

Fair debt collections practices act

The total cost a borrower must pay for the loan including all interest and fees is the ______.

Finance charge

When Calvin and Gloria finest in the car at the credit union they were given extensive printed information about the specifics of the loan. This information included the total cost of the loan including interest and fees. This total cause they will pay for the loan is known as_______.

Finance charge

If Micheal and Kathy want to buy a new home, they will need to budget saving for a number of years. After the purchase, the house payment becomes a(n) ________ expense.

Fixed expenses

In order for you to avoid paying high interest on his credit card he could pay the entire balance between the billing date in the payment due date. During this period of time he will not be charged any interest. This period of time is known as the

Grace period

The time between the billing date and the payment due date, when no interest is charged, is the______.

Grace period

A record of your past borrowing and payments is your credit

History

Kamila worries about inflation reducing the purchasing power of her savings. To avoid this possibility she has decided to purchase his type of US government savings bond called a(n) _________.

I saving bond

Jade receive a substantial bonus from her employer at the end of the year. She would like to place her bonus in a US government bond that protects her investment from inflation. Which of the following would be the correct choice? a. Treasury bills b. series EE savings bonds c. treasury bonds d. I saving bonds

I savings bonds

While shopping at a local store Corine some piano that she knew her mother would love to have Corine decide to make a great Mother's Day gift so she made arrangements to finance the piano for two years with an 18% interest rate Corine obtained an

Installment loan closed-end credit

Money in savings accounts usually earns _______.

Interest

Buying a home would be a_________ goal

Lifespan

Kayla has $2000 she would like to deposit in some type of savings option. She would prefer earning high interest in a standard savings account and she wants to avoid paying a penalty for early withdrawal. What type of account should Kayla open?

Money market account

Jamal is a part-time telephone employee who volunteers at his children's counselor's office three days a week. Helps the counselor keep the career investigation materials organized and accessible to students. Jamal has learned that the dictionary of occupational titles have been replaced by a comprehensive online database of job characteristics skills and knowledge required for over 20,000 jobs. This database is known as _________.

Occupational Information Network (O*Net)

If you want to get cash for personal property such as jewelry or a TV that you need to see a________.

Pawnbroker

Russ needed money quickly and returning home to visit his mother because he has a port credit rating his options for a loan were limited in order to get a loan Russ can take his big screen TV to a(n) ______to borrow the money he needs

Pawnbroker

Early withdrawal on a CD is usually subject to a(n) _______.

Penalty

The money you deposit into savings account CD or other saving option is called the ________.

Principal

I-chen Lee has a charge account at department store. The account allows her to me charges through the month. She will not pay any interest because she must pay the balance in full by the 15th day of the next month. What type of account does I-chen Lee have?

Regular charge account

Mazher has an account that allows him to charge up to $5000 . under the credit agreement he is not required to pay the balance in full. Mazher often chooses to make the minimum payment carrying the remaining balance forward to the next month. What type of account does Mazher have?

Revolving charge account

Andrew works part time after school. Because he lives at home with his parents, he has a few expenses. He puts most of his pay aside each month and trades spending now for the ability to spend the money in the future. This concept is known as ___________.

Saving

Cynthia and Doug know that the FDIC insures deposits in commercial banks up to $250,000. The agency that insures those deposits at a savings and loan is called the ________.

Saving association insurance fund

Lucas and Jewel have a down payment for a home and have found the home they want to purchase. Which type of financial institution specialize in lending money to consumers to buy homes? a. Credit unions b. finance companies C. commercial banks D. savings and loan Associations

Savings and loan Associations

A loan that is backed by something of value pledged to insure payment is a ______.

Secured loan

If Donovan places $2000 in deposit with interest compounded twice a year, then the interest is calculated________.

Semiannually

Becky's parents had $10,000 and US government series EE bonds that matured. They chose to exchange these bonds for another type of government bond that pays a fixed interest rate that is sent to their bank account electronically every six months. What type of US government bonds did they acquire?

Series HH bonds

buying a new shirt would be a(n) _______- term goal.

Short

Tino enjoys music and playing the drums. He wants to buy a set of drums so he takes a part time job after school. His job nets him $300 a month. the drum set he wants to buy cost $1,800. Given the cost and the amount of time taken to reach his goal , the drum set purchase would be considered a(n)________________.

Short-term goal

Jackie keeps all of her receipts, paycheck stubs, bank statements, and other financial records in the in the top drawer of her dresser. she has no idea or how she spends her money. Although it is good that she keeps her financial records, to understand how she spends her income she need to establish _________________.

filing system

Harry and Melissa have been married for a year. They have kept their separate checking accounts in which they deposit their individual paychecks. Although they share expense equally, neither one knows what the other earns. Now they have decide to purchase a home. the loan officer at the bank suggested they prepare a budget and begin saving money for their down payment. the best document they could use to begin this communication process would be a(n)______________________.

budget worksheet

Louise was surprise when he was denied credit he has always use credit responsibly so he could not understand the denial. He obtained a copy of his credit report and was shocked to learn that there were many credit accounts in his name that he had never opened. He found that someone had stolen his identity and taking out credit cards using his good credit to purchase goods and services. Louise has experience______ fraud

True name

Marlan has accumulated $500 in his savings account; however, he is earning only 2.25% simple interest on his savings. He would like to take all or part of his savings and invest in some type of account that would pay him a higher interest rate. Given the amount he has to invest, which of the following would be his best choice? a. a certificate of deposit b. a money market account c. a U.S. treasury bill d. a series HH bond

a certificate of deposit

Interest can be compounded ______. a. annually b. daily c. quartely d. all of the above

all of the above

Savings accounts are ______. a. offered by any savings institution b. a place in which you can deposit money c. a way you can earn interest d. all of the above

all of the above

While in high school Kyoko volunteer at her local library to read books for blind children. Then in college, she majored in journalism. She also studied braille and work part time at the lighthouse of the blind, gaining skills and experiences working with visually impaired or blind people. Her senior year she spent many hours studying I diseases and childhood development. Two years after college, Kyoko went to work for a company that specializes in producing books, keyboards and online materials for Blind children. This long-term commitment to an occupation is known as a(n) __________.

career

Wes thanks he might enjoy a career as an architect. Investigate this career option, he asked to interview a friend's father who were as an architect for a large construction firm. Wes spent most of the day talking with this person and watching him work. Because of his experience, Wes decides to apply to an architectural program at a local university. Wes completed a(n) ________ help them make his choice.

career connection

As a school teacher, Liz can choose to join a financial institution with other school employees that offers her a membership when she deposits her money there or opens a checking account. This type of financial institution is known as a __________.

credit union

DeShandra and Marcus were recently married and moved into an apartment. they examine their combined expanses in order to prepare a budget. some of their monthly expenses included rent ($425), car payment ($200 and $175), car insurance ($125), and a collage loan ($85). each of these is considered to be a(n) __________ expense.

fixed expense

Michelle enjoys watching NBA basketball. One day a friend offers Michelle a center court ticket for $85. Michelle agrees and gives her $85 for a ticket. the purchase of this ticket is considered a(n)________________.

flexible expense.

For several weeks Linda had been looking for a new job in her career field she has some at her more than 25 resumes and has scheduled 10 interviews in order to keep her name in front of each the interviewers, Linda should prepare and send a(n) _________ immediately after each interview

follow-up letter

Luther recently saw in an advertisement online for a photojournalist position with his local newspaper. Luther forward his resume with a cover letter including himself to the paper's managing editor. A few days later, the managing editor's secretary contact Luther to arrange a face-to-face meeting with the managing editor. This meeting is known as a(n)_________.

interview

Dianne and Ron have been living in a apartment for five years. Although they have a limited income, they have dream of owning a home someday. In their budget they decide to set aside $100 each month until they can afford to make the down payment on a home. They have begun to plan to reach a(n)__________________.

life-span goal

Loretta is planning her collage wardrobe. She has only $250 to spend. While at the local mall shopping for jeans, she spots a pair of "beautiful" shoes costing $120. These shoes would be considered a(n) ____________

luxury good

Your official written notification that you are leaving a company is considered to be your

notice

Ethan has been working as a CPA almost 5 years. he no longer feels challenged with his work and thinks he should begin searching for a new employment opportunities. because he's extremely busy at work I've been working 60 hours a week does not have time to complete a job search on his own. He would rather pay someone to perform this search for him and send him on job interviews where his skills "match" those of prospective employers. Ethan should contact a(n) _________ to assist him with his job search.

private employment agency

The persons listed on your resume who can provide evidence of your character are called

reference

Tere is attending school to become qualified as a court reporter. Next month, she will complete her last course and will be eligible to take the state certification exam. Once she has obtained her certification, she plans to play with a local district court or one of its court reporter positions. Many certified court reporters seek these positions, so Tara knows she will have to do a good job of selling herself and her experiences. She will prepare a(n) _________, which will include her training and education in court reporting as well as her experience at a local law firm.

resume

Which of the following specialized in lending to consumers who want to buy homes? a. commercial banks b. credit unions c. savings and loan associations d. finance companies

savings and loan associations

Coop lives in a city where there are several types of financial institutions from which to choose. He has $5000 to deposit. He would prefer to own part of the institution where he makes his deposit in order to receive dividends. Which institution matches his preferences?

savings bank

Audrey has worked for Allied insurance company for the past 10 years. Last week, all allied employees were notified that the company would be relocating to another state any current employee has the option of relocating with the company and allied will pay 50% of individuals employees moving expenses. Audrey however does not want to leave her home and has chosen to end her employment with Allied Insurance. Allied employees who terminate their employment will receive a sum of money equal to six months of their salary. The sum of money is know as _________.

severance pay

Katana is fascinated with many tall buildings located downtown. She's intrigued by the lines, designs, textures, colors and the message each individual building seems to communicate to her. Her drafting instructor has given Katana several assignments that include taking a picture of a building and making design for it using CAD software. He has told her she has a unique talent or ability known as _________.

spatial aptitude

Private companies that specialize in supplying short-term employees to businesses are called

temporary agencies