Insurance
Lucy has no insurance. The situation(s) should she consider insuring against first are
Losses resulting from an illness, accident or disability (Health)
The financial institution where Ms. Sanchez has her checking account will continue to pay out money for the checks she writes as long as
There is enough money in Ms. Sanchez's account to cover the checks
Another term for the dollar amount of your paycheck after taxes and other withholdings is
net income
What is a credit score
a number used to determine how much credit to extend to a person
You are depositing 100 cash and a check for $50 are these both listed together or separately on a bank deposit slip?
Separately
A person buys a homeowner's insurance policy with a 250 dollar deductible, which means the person will
have to pay the first 250 which will be deducted from the claim settlement paid by the insurance company
A bank Certificate of Deposit is a
Savings instrument that requires a deposit for a period of time during which there is a penalty for withdrawals.
Ben's annual income is 30k and he contributed 3k to a traditional IRA. What us his taxable income?
27k
What is a uncollateralized loan
a loan not backed by assets to cover the loan amount
You know every year you must pay 1200 to a certain entity. What can you do to ensure you have the money ready when it is due
Put 1/12 away each month in a separate bank account
Gwen receives a bill from her auto insurance company, and she sends a check to the company to make sure her policy is not canceled. The cost of her policy is called the
Premium
The phrase used for putting money into a savings account is
Making a deposit
What is the benefit to holding a stock longer than a year?
Capital gains are taxed at a lower rate
When a person declared bankruptcy that fact will appear on the credit report for how long
7 or 10 years
The term used to describe the ease and speed you can turn something into cash is called
Liquidity
Debbie owns a clothing store. She is concerned that a customer who is injured in the store will sue. Which type of insurance should she buy?
Liability Insurance
Money orders are
a purchased certificate to pay a specified amount to a specific person
Money you set aside to grow is called
savings or investments
If you go to a pawnshop to obtain cash, the transaction is considered
a collateralized loan
If a person makes a deposit in a bank of more than 10k, the bank must notify the
US Treasury Department
Ben's truck is crashed by a hit and run driver. Scott is hit by an uninsured driver. How will they receive payments?
Uninsured or no-fault motorist coverage.
What financial product could pay a dividend?
stock
An example of a variable expense is
electricity, food
Give an example of open-end credit
department store cards
Is open ended credit and revolving credit the same things?
Yes Example Credit Card or Store Charge Card
If you have a managed health care plan, it means that you
Usually meet with a primary care doctor first
Patty is selling her car through a news ad. When she finds a buyer, name a form of payment that she should avoid
personal check
A person's debt ratio shows the relationship between debt and net worth. The lower the ratio the
better off financially the person is
Josh is shopping for a car loan. A friend told him to compare the actual cost of the loan for one year expressed as a percentage from three banks. He needs to ask for the
Annual percentage rate (APR)
A Credit Card finance charge is
the cost to use the card
A woman has just received a very expansive piece of jewelry. The woman has homeowner's insurance. What would she ask from her insurance company to cover the unordinary amount the jewelry costs to be replaced?
A personal property floater
A blank endorsement on a check does what?
Creates a check that can be cashed by anyone
A person complains that cigarettes are too expensive. One of the reasons they are so expensive is
The government imposes an excise tax on them
A type of loan where you make equal interest free payments for something
Installment Loan
Which government agency investigates insider trading
SEC Security Exchange Commission