Owning a Business
What is a person that starts his/her own business called?
Entrepreneur
What are Financial Institutions?
Financial institutions, otherwise known as banking institutions, are corporations that provide services as intermediaries for different types of financial monetary transactions
What’s the easiest way to borrow money?
A Loan
When does the FAFSA filing period open every year?
October 1st
What is Bankruptcy?
Bankruptcy is a legal proceeding involving a person or business that is unable to repay their outstanding debts
What is a Sole Proprietorship?
A small business owned by one person
What is capital formation?
Capital formation is a concept used in macroeconomics, national accounts and financial economics. Occasionally it is also used in corporate accounts
What happens when you don't pay a loan?
You’ll pay more than what you owed as penalties and your credit score drops
Which is TRUE about the EFC?
A. It's the cost of filing the FAFSA
B. It's how much you & your family are expected to pay for college
C. It's another term for '' net price''
D. It's how much your parents must contribute towards college
The correct answer is B
How long is Bankruptcy on record?
It lasts around 7-10 years.
What is a Partnership?
An arrangement between two or more people to oversee business operations and share its profits and liabilities.
What is the role of interest?
The higher the interest rate offered for savings, the more money will be available for savings; the lower the interest rate lowers the amount of money available for saving
Why do people borrow money?
You could borrow money if you want to buy an expensive item that is part of your long term plan.
What do you need to file your FAFSA if you're a dependent?
A. Just your tax forms
B. Your high school student ID number
C. You and your parents' tax forms from 2 years priors
D. A pay stub if you had a job In the past year
The correct answer is C
What can Bankruptcy affect in your life (Give two examples)?
Credit score will go down, future employment is hard, attorney fees, and could lose personal property
What are a Stock and a shareholder?
A stock is a document that certifies the shareholder's ownership and a shareholder is a person, company, or institution that owns at least one share of a company's stock, known as equity.
What is the role of risk?
The higher the risk, the higher the interest
What are the 5 C’s?
Character, Capital, Capacity, Collateral and Conditions
What is the benefit of going to college and having a college degree?
A. Lower lifetime earnings
B. lower interest rates on future loans
C. Expanded professional and social network
D. Guaranteed starting salary of $50,000 after graduation
The correct answer is C
What category is protection from wrongful eviction under?
Renting
Where does a corporation seek permission from?
The State
How can investments grow?
Interest income, Dividend income, and Rising market prices
What is the difference between Open-End and Closed-End Credit?
The difference between these two types of credit is mainly in the terms of the debt and how the debt is repaid. With closed-end credit, debt instruments are acquired for a particular purpose and for a set period of time. Open-end credit is extended in advance of any transaction so that the borrower does not need to repay each time credit is desired
What type of Grants did we learn about this year?
A. Federal Pell Grants
B. Federal Supplemental Educational Opportunity Grants
C. Iraq and Afghanistan Service Grants
D. Teacher Educational Assistance for College & Higher Education(Teach Grants)
The correct answer is A and
What is one benefit of Insurance?
Employer-provided option, Cheaper in the long run if needed, Tax Breaks, Legal requirements ( e.g., auto)