I
A percentage paid to a lender for the use of borrowed money is called
What is interest?
A piece of ownership in a coorporation
What is a stock?
A legal proceeding carried out to allow individuals or businesses freedom from their debts, while simultaneously providing creditors an opportunity for repayment.
What is bankruptcy?
The number of days between a borrower's statement date and when payment is due, often without accruing interest
What is the grace period?
Something, typically money, that is owed or due
What is debt?
What is a bear market?
A time when stock prices are falling
Loan used to finance a specific purchase for a specific amount of time, during which regular payments pay the accrued interest and a portion of the principal
What is an installment loan?
Something valuable that the lender can take as payment if you can't or don't repay your secured loan
What is collateral?
A fund that pools the savings of many individuals and invests this money in a variety of stocks, bonds, and other financial assets
What is a mutual fund?
Designed for holding money you don't plan to spend immediately
What is a savings account?
The smallest amount of a credit card bill that a credit card holder must pay during a billing cycle to remain in good standing with the lender
What is the minimum payment?
An account that is ideal for everyday transactions
What is a checking account?
Used to estimate the amount of time it will take for money to double
What is the Rule of 72?
The initial amount of money borrowed from a lender
What is the loan principal?
The pain of losing a $20 bill is felt more than the joy of finding it. This is a result of...
What is loss aversion?
The degree of uncertainty on how likely the investor is to make money on an investment
What is risk?
Type of retirement account in which employers provide matching money to invest
What is a 401K?
A type of account used to buy and sell stocks, bonds, and funds
What is a brokerage account?
The portion of corporate profits paid out to stockholders
What is a dividend?
The active and responsible management of someone else's resources for that individual's purposes
What is stewardship?
The federal agency that ensures bank deposits up to $250,000 in case of bank failure
What is the FDIC?
What is a bull market?
When stocks are on the rise
A loan taken by individuals and businesses to make real estate purchases without paying the entire value of the purchase up front
What is a mortgage?
The form filled out by a new employee so that tax money is withheld correctly from paychecks
What is a W4?
Investments of time, effort, and money that cannot be recovered are...
What are sunk costs?