Total Estimated Income – Total Estimated Expenses = Net Income
What is the Budget Equation
200
Reducing investment risk by putting money in several different types of investments
What is Diversification
200
The amount you pay to use someone else's money
What is Interest
200
Controlled by their own customers, who are known as members.
What is a Credit Union
300
A Term Goal that can be accomplished in 3 months or less.
What is a Short-Term Goal
300
Expenses that may change
What are Variable Expenses
300
A rule used to determine how long it will take you to double your money
What is the Rule of 72
300
Your ability to pay the money back that you've borrowed (one of the 5C's)
What is Capacity
300
An account that allows you to write checks to pay for things.
What is a Checking Account
400
The process in which you Identify your goal, Establish your criteria, Examine your options, Weigh the pros and cons, Make your decision, and Evaluate results.
What is the Decision Making Process
400
Identify whether the following is an advantage of Buying or Renting a home:
Little or no responsibility for maintenance problems
What is Renting
400
The payment you receive for allowing a financial institution (bank) to use your money
What is Interest / Earned Interest
400
Stays on a person's credit report for 10 years.
What is Bankruptcy
400
A form you fill out in order to put money into your bank account.
What is a Deposit Slip
500
A Term Goal that can be accomplished in 3 months to a year.
What is a Intermediate Term Goal
500
The suggested down payment on a house purchase
What is 20%
500
Principal x Interest Rate x Time
What is the Earned Interest Formula
500
A three-digit number based on a person's credit report.
What is a Credit Score
500
Let you check for inconsistencies between your bank statement and checkbook register.