Economics
broker
A ________ is a person who buys and sells securities for clients.
D.) oxidized
A car that has permanently loses its shine is said to be A.) polished, B.) Waxed, C.) restored, D.) oxidized
High bailling
An unrealistically high price offered by the dealer for the buyer's old car as part of the new car deal
Low bailling
An unrealistically low price offered by the dealer for the buyer's old car as part of the new car deal
VIN
Each car has a personal/unique _________ to identify it.
Political risk
Government actions that affect business profits.
Collectibles
Items that people like to acquire and possibly sell for profit
D.) Speculation
The final level or realm of investing is called A.) put, B.) take, C.) permanent, D.) speculation
Financial pages
The section of a newspaper that contains financial data is
B.) Depreciation
The single greatest cost of owning a new car is A.) the car payment, B.) the depreciation, C.) gasoline, D.) insurance
False
True or False: An investment adviser is responsible for your decisions.
True
True or False: Dealer add-ons are considered unnecessary and expensive.
False
True or False: Leasing a car is not very popular option these days.
False
True or False: Low-balling gives you the best possible deal for your trade in
True
True or False: Market risk is caused by business declines or other events
True
True or False: Most new car dealers offer financing options for car purchases
False
True or False: Political risk refers to the effects of higher interest rates when you are locked into lower rates.
False
True or False: Public corporations are not required to publish annual reports
Annuity
a contract issued by an insurance company to pay you regular income, usually after retirement
Car lease
a contractual agreement, that allows monthly payments for the use of a vehicle, without ownership
Polishing compound
can be used to ride the surface of a car of scratches, scuffs, and stains
Abrasives
coarse and strong chemicals that can damage the paint on a car
Inflation
A rise in the general level of prices is known as __________.
90
According to the AAA, for subcompact cars, the dealer has paid about ______ percent of the sticker price.
Annual report
An ___________ is a document that gives the financial history of a corporation.
A.) 1 year or less
For how long are Treasury bills issued? A.) 1 year or less, B.) 2 years, C.) 10 years, D.) 30 years
Financial advisers
Professional investment planners are also known as
Buyer's guide
The Federal Trade commission requires dealers to place a sticker, on all used cars they offer. This is called ______
Investing Risk
The chance that an investment's value will decrease is called ____________.
Diversification
The spreading of risk among many types of investments
Investing
The use of savings to earn a financial return.
Test drive
To _______ a vehicle you can compare ride, handling, features, and cost of several dealers.
C.) An annual report
To find the most detailed data about a corporation, consult A.) the financial pages, B.) a discount broker, C.) an annual report, D.) a financial magazine
True
True or False: A investment in real estate is generally considered relatively safe but fairly liquid
Appreciate
Very old vehicles in excellent condition may ________ or increase in value.
D.) turning the wheel when the car is motionless
Which of the following is not a good driving habit? A.) giving a cold engine a brief chance to war up, B.) Glancing at gauges as you drive, C.) wearing a seat belt, D.) turning the wheel when the car is motionless
C.) Market risk
Which of these risks is associated with a business decline? A.) Long-term risk, B.) Speculative risk, C.) Market risk, D.) Political risk
Discount brokers
Who buys and sells securities for clients for a reduced commission?
Investor services
__________ provide financial data for interpretation. Ex. Moody's
Vehicle emission test
assures that the car meets the minimum clean air standards
Lemon laws
consumers are protected by these laws which identify cars as being unrepairable
Futures
contracts to buy and sell commodities for a specified price on a specified future date
Bonds
debt obligations of corporation or a government Ex. municipal bonds or corporate bonds
Pre-approval
finding out how much money you can borrow
Dealer add-ons
high priced, high profit dealer services with little or no value
Car title
lists the legal owner and the registered owner of a vehicle
Penny stocks
low-priced stocks of a small companies that have no track record. Stock usually sells for under a dollar per share.
Mutual fund
pools of money many investors and buys a large selection of securities
Stock
represent ownership in a corporation
Sticker price
suggested retail price displayed in printed form on the vehicle
Upholstery
the car's interior or covering of the seats
Discount
type of bond purchases for less than its maturity value Ex. A series EE savings bond
Depreciation
the loss in value of a vehicle during it's life time
Oxidizing
the process of a car losing it's shine or color
Option
the right but no obligation to buy or sell a commodity or stock for a specified price within a specified time period
Warranty
written guarantee of the soundness of a product