Corporate Chaos
What does CEO stand for?
Chief Executive Officer
What does it mean to own a share of stock?
You own a small portion of a company.
What is a plan for managing your income and expenses called?
A budget
What does APR stand for?
Annual Percentage Rate
What is the money a lender charges you for borrowing money called?
Interest
What is it called when a company reduces its workforce by eliminating jobs?
Layoffs
What is a bull market?
A market in which prices are generally rising.
If you save $25 every week for one year, how much will you save without earning interest?
$1,300
What is the term for the percentage of your available credit that you are currently using?
Credit utilization
What is the general rise in prices of goods and services over time called?
Inflation
What is it called when two companies combine to form one business?
A merger
What is the investment strategy of spreading your money across different assets to reduce risk called?
Diversification
A $80 pair of shoes is discounted by 25%. What is the price before tax?
$60
Your credit card limit is $1,500, and your balance is $450. What is your credit utilization ratio?
30%
You deposit $500 into an account that earns 4% simple interest annually. How much interest do you earn after one year?
$20
What was the name of Volkswagen’s emissions scandal, in which software was used to cheat emissions tests?
Dieselgate
You buy a stock for $50, and its price falls to $40. What percentage has its price decreased?
20%
You earn $2,500 per month after taxes and spend $1,950 per month. How much can you save in one year if these amounts stay the same?
$6,600
What type of loan requires collateral, such as a car or a house, to secure the debt?
A secured loan
You invest $1,000 at 5% annual compound interest. How much will you have after two years, assuming no additional deposits or fees?
$1,102.50
Which energy company collapsed in 2001 after a major accounting fraud scandal?
Enron
Your $1,000 investment loses 20% of its value. What percentage gain is needed to return to $1,000?
25%
A phone costs $900 upfront or $80 per month for 12 months. Ignoring fees and interest, how much more does the monthly payment option cost?
$60
You owe $1,000 on a credit card with a 24% APR. Approximately how much interest would accrue in one month on that balance, assuming a constant balance and no fees?
$20
You invest $2,000 at 5% annual compound interest. How much will you have after three years, assuming no additional deposits or fees?
$2,315.25