Math Vocabulary Ch.10 Financial Literacy
Simple Interest
The amount paid or earned for the use of money. The formula for simple interest is; I=prt
Expenses
The cost required to buy an item or service
Net Worth
The value of ones assets minus ones liabilities
Family Budget
A family plan for spending
Income
A financial gain from capital or labor
Rebate
A partial return or refund on an amount paid
Budget
A plan for spending
Income Tax
A tax on the net income of an individual or business
Coupon
A voucher entitling its user to a cash refund
Interest
Amount of money paid or earned for the use of money
Sales Tax
An additional amount of money charge on items that people buy
Personal Budget
An individual plan for spending
Variable Expenses
Costs that do change based on the amount that is used
Fixed Expenses
Costs that do not change based on the amount that is used
Liabilities
Debts that are owed by an individual
Monetary Incentives
Financial Resources, such as sales, rebates, and coupons, to buy an item
Compound Interest
Interest paid on the initial principle and on the interest earned in the past
Assets
Owned items by an individual
Wages
Payments for labor or service