Econ U5 quizzes
disabled
Businesses have a legal responsibility to make certain accommodations for ____ customers.
diversification
Dividing your money among multiple investments is the principle of ____.
bankruptcy
During a ____, the borrower gives up any valuable property in order to pay off his or her lenders.
liability
Every state requires drivers to have ____ insurance.
free application for federal student aid
Filling out the ____ is the best way to pursue federal loans, grants, and work-study.
security
If a loan is not repaid, a lender may claim this promised item of value.
lose purchasing power and miss out on the power of compound interest
Investors who take too little risk might ____.
brokerage
Most investors use a ____ to handle investment transactions, track investments, and receive statements on a regular basis.
capital
One benefit of banks is that individuals create large pools of ____.
equity
The worth or value of a home to an owner after subtracting any home loan is the ____.
transcation
This agreement is reached by a buyer and seller to exchange service and goods.
reconciliation
This compares two sets of records to ensure accuracy.
delayed gratification
This term describes waiting for a later, greater reward by resisting the temptation to receive an immediate reward.
money market
This type of savings account offers a higher interest rate but requires a higher balance.
standard fixed-rate
Traditional ___ loans have the same rate and payment for the life of the loan.
investors will pay more for older bonds with higher interest rates
When interest rates go down, bond funds prices go up because ____.
level of education
Which factor most impacts a person's future earning potential?
credit
Your ____ history will determine if you are able to purchase some big-ticket items.
paycheck loans
____ are undesirable because they involve very high interest rates and fees.
mutual
____ funds were created to pool investors' money and encourage small, periodic investments.
disability
____ insurance is designed to help workers who are not physically able to work.
life
____ insurance is typically used to care for a policyholder's family in case of death.
comprehensive
____ insurance protects against all kinds of damage, including "acts of God."
whole life
____ insurance will only pay a benefit if the insured person dies within a certain time period.
interest
____ is the income the lender receives from loaning money.
single-family home
a home not connected to any other buildings that embodies the ideal of the American Dream
townhome
a residence that has a small backyard and front porch and shares walls with other homes
roth individual retirement account
earnings from this account are not subject to tax if withdrawn after age 59
401 k plan
employers can match employee contribution to retirement savings
education tax credits
enables college expenses to reduce one's tax burden dollar for dollar
federal loans
money for education that must be repaid after one graduates or otherwise leaves school
paycheck loan
offered by independent businesses as an advance on the customer's wages
consumer loan
offered to individuals to meet personal or household needs
sole proprietorship
the owner has freedom, but also has trouble getting loans and is subjected to personal liability.
standard and poor's 500 index
the stock performance of hundreds of America's largest companies are tracked by this index
partnership
the work, risk, losses, and profits are divided between multiple owners.
new york stock exchange
the world's largest stock exchange is in America's largest city
individual retirement account
this account allows individuals with income to make tax-deferred investments for retirement
exchange-traded fund
this basket of sticks or other investments may be traded in real time just like a stock
NASDAQ
this electronic stock exchange is home to many large technology company stocks
dow jones industrial average
this index tracks 30 of the most important US companies
chicago mercantile exchange
this stock exchange specializes in agricultural financial investments
home loan
used to purchase private residences
statement
Banks periodically send out this record of activity within one's account.
stock exchange
A marketplace where stocks are bought and sold is a ____.
checking
A____ account allows customers to pay with paper "tickets" or electronic transfers drawn directly from the account.
apartment
Amenities, various contracts, and month-to-month arrangements are advantages of renting a ____.
check register
A ___ allows bank customers to keep track of their balances as they make transactions.
down
A ___ payment is a percentage of the full purchase price and is meant to prove a buyer's intent.
savings
A ____ account is a place to hold money while earning minimal interest.
private
A ____ company does not have or allow trading of its ownership by stockholders.
commission
A ____ is a charge for financial transaction or advice.
commodity
A ____ is interchangeable with other goods of the same kind.
security deposit
A ____ is often taken to protect a rental agency or individual from damage caused by a renter.
publicly
A ____ traded company issues shares of ownership through stock offerings.
security
A bond issued and backed by the government is called a government ____.
dividend
A company may pay a ____ out of earning to stockholders.
financial
A good ____ advisor can help you wisely manage your investments.
entity
A legal ____ is a group or organization recognized by the government as such.
mortgage
A loan in which the property purchased secures the money borrowed is a ____.
maturity
A loan or CD must be repaid when it reaches ____ after a certain period of time.
Fair Credit Reporting Act
The ____ requires the three major credit tracking agencies to provide you, upon request, with a free credit report every 12 months.
principal
The amount borrowed in a loan and that is used to calculate interest payments is the ____.
gross wages
The amount of an employee's income before any deductions are made is the ____.
FHA
The federal government has insured ____ loans since they were created as part of a New Deal program.
flexible-rate
The mortgage and interest payments can fluctuate as interest rates change in a ____ loan.
stock
The price of a ____ represents investors' collective expectations of a company's future growth and profits.
foreclosure
The taking over of a home by a lender once a homeowner can no longer pay for his or her home loan is a ____.
military aid
allows members to receive aid for college through the Montgomery GI Bill
manufactured home
an economical residence made of lesser-quality materials susceptible to storms
condominium
apartment-like dwelling of which homeowners can own individual units
commercial loan
assists in the creation of a small business or to help in the advancement of that business
grant
direct aid based on eligibility that does not have to be repaid
limited liability company
small businesses are the likely beneficiaries of this business structure that protects the owners from personal liability
corporation
stockholders who own the company are not directly liable for company actions.