taxes
what is a tax?
money hta tpeople and businesses pay to the government
what is credit?
the ability to borrow money
what is a bank?
a financial institution that holds money
what is investing?
putting money into something and maybe earning twice as more
why does government collect taxes?
to pay for schools, roads, police and other government services
what is a credit card?
a card that lets you borrow money from a financial institution
what is a checking account?
what is a stock?
a share of ownership in a company
what is the difference between gross income and tasable income?
gross is generally the amount you receive.
taxable is the amount remaining applicable adjustments and deductions
why is having good credit good?
it can make it easier to qualify for loans and credit cards
what is a savings?
to hold money for saving
what is an ETF?
exchange traded fund
what is payroll tax?
taxes withheld from wages
what is a loan?
money borrowed from someone
what is overdraft?
a transaction causes your account balance to go below zero
what is a bull market?
a period generally characterized by rising investment prices
if someone earns 50,000 but has 5,000 in deductions, how much is their taxable income?
45,000
if your credit card limit is 1,000 and you owe 300, what is your credit utilization
30%
what is a bank loan?
money borrowed from a bank
why can investing be risky?
because you could lose a lot