Personal Finance 2023 Test Questions and Correct Answers

Personal Finance 2023 Test Questions and Correct Answers Dave Ramsey - Answer-Financial Guru we have studied this semester. Budget - Answer-Something you should do every month to keep track of your money. Personal Finance - Answer-The study of money for an individual. Landlord - Answer-Person who owns the home you are renting from. Accounts - Answer-Your bank houses these. Cash Value - Answer-The Gross earnings - Answer-After tax money APR - Answer-Annual percentage rate Asset - Answer-An economic value of something you own Bank Statement - Answer-A form given to account holders from a bank or CU. Bankruptcy - Answer-A legal declaration when you are unable to pay your debt. Bank - Answer-Businesses that accept deposits and make loans. Benefits - Answer-Things offered by your employer or favorable for you. CD - Answer-Certificate of Deposit Check - Answer-A printed form telling your bank to pay another person or account. Checking Account - Answer-An account held at a bank or CU that you can draw funds out of by either withdrawal or check. Collateral - Answer-Required property to secure a loan with a bank. Compound Interest - Answer-Your investment earning money by accruing money. Consumers - Answer-People who buy goods and services. Contract - Answer-A promise between two parties that is enforceable by law. Credit - Answer-The granting of money or something else of value in exchange for a promise of future payment. Credit Card - Answer-Cards that represent an agreement between a lender and the cardholder. Credit Report - Answer-Payment history of debt by a credit bureau. Credit Score - Answer-A number based on information in a credit report. Debit Card - Answer-A card that withdrawals money directly from your checking account. Debt - Answer-Money owed that was exchanged for goods or services. Default - Answer-The failure to pay interest or principal when due. Delinquent - Answer-Failure to make payments for a credit agreement. Direct Deposit - Answer-A transaction where money is deposited directly into your bank. Disposable Income - Answer-The amount of your paycheck that is available to spend or save. Down Payment - Answer-A sum of money put towards the purchase of something. Earnings - Answer-Money received for labor or services. Economy - Answer-A system of production and distribution of resources, goods and services. Employed - Answer-People 16 years and older who have jobs. Expenses - Answer-Costs incurred for goods and services. Federal Reserve - Answer-One of 12 regional banks providing services to commercial banks. Gold Standard - Answer-The ability to exchange dollars for gold at a fixed price. Gross Pay - Answer-Amount people earn per pay period before deductions. Income Tax - Answer-Taxes on income, earned and unearned. Loan - Answer-Sum of money provided temporarily on the condition that the amount will be repaid. Minimum Wage - Answer-Lowest wage that employers may legally pay for an hour of labor. Mortgage - Answer-Debt owed for loans for homes and real estate. Net Pay - Answer-Gross pay minus deductions and taxes. Overdraft Fee - Answer-The penalty associated with an overdraft. Principal - Answer-Original amount of money deposited or invested, excluding any interest or dividends. Rent - Answer-The payment for resources. Retirement - Answer-Permanently leaving a job or career.