Personal Finance D363 UPDATED ACTUAL
Exam Questions and CORRECT Answers
How to create wealth - CORRECT ANSWER - · spend less than you make then save or invest
the difference
Income targets - CORRECT ANSWER - Make financial strategies, find values and set goals
Net worth - CORRECT ANSWER - · The difference between the value of your assets and
liabilities
Cash flow statement - CORRECT ANSWER - Basic statement of transactions
Credit report - CORRECT ANSWER - free, a report on the history of your ability to pay your
debts available to all credit providers
Credit Cards - CORRECT ANSWER - when used correctly can help grow credit score when
used unproperly they can send you into debt
Financial records - CORRECT ANSWER - put into a safe deposit box or into home files they
are records of transactions that you have made
Bank reconciliations - CORRECT ANSWER - verify bank account debits and credits are
accurate
Credit management - CORRECT ANSWER - calculate the amount of debt for an individual
and create a plan to payoff debt
Personal finance - CORRECT ANSWER - apply basic financial principles in structured
personal financial situations to meet a limited need
, Financial literacy - CORRECT ANSWER - apply reasonable and emotionally sound money
management strategies and principles in ones own personal finances
Monetary Asset Management - CORRECT ANSWER - teams that manage assets in a various
of accounts under strategies to preserve the wealth and make them grow in value
Money market account - CORRECT ANSWER - accounts that must mature in less than one
year. The funds are deposited in money markets as short term loans to businesses. They are
accounts in mutual funds
Mutual fund or EFT's - CORRECT ANSWER - have a large diverse amount of investments
making them hard to not grow where signing up for dividend reinvestment can create synergy
and they are hard to fail in the long run
Certificate of deposit - CORRECT ANSWER - A fixed timed deposit where you give you
money as a loan or deposit then at the end of the fixed time if the money is not touched you gain
the interest principle agreed on with the initial deposit
Financial Analysis - CORRECT ANSWER - Define the different financial decision models
and assumptions involved in making decisions relating to asset and investment management,
debt, equity, and leasing.
Investment management - CORRECT ANSWER - review investments to maximize returns
and minimize risks
Investments - CORRECT ANSWER - develop a strong pipeline of good quality investment
opportunities by anticipating market trends and employing sector or country knowledge
Management - CORRECT ANSWER - avoid crisis situations
Exam Questions and CORRECT Answers
How to create wealth - CORRECT ANSWER - · spend less than you make then save or invest
the difference
Income targets - CORRECT ANSWER - Make financial strategies, find values and set goals
Net worth - CORRECT ANSWER - · The difference between the value of your assets and
liabilities
Cash flow statement - CORRECT ANSWER - Basic statement of transactions
Credit report - CORRECT ANSWER - free, a report on the history of your ability to pay your
debts available to all credit providers
Credit Cards - CORRECT ANSWER - when used correctly can help grow credit score when
used unproperly they can send you into debt
Financial records - CORRECT ANSWER - put into a safe deposit box or into home files they
are records of transactions that you have made
Bank reconciliations - CORRECT ANSWER - verify bank account debits and credits are
accurate
Credit management - CORRECT ANSWER - calculate the amount of debt for an individual
and create a plan to payoff debt
Personal finance - CORRECT ANSWER - apply basic financial principles in structured
personal financial situations to meet a limited need
, Financial literacy - CORRECT ANSWER - apply reasonable and emotionally sound money
management strategies and principles in ones own personal finances
Monetary Asset Management - CORRECT ANSWER - teams that manage assets in a various
of accounts under strategies to preserve the wealth and make them grow in value
Money market account - CORRECT ANSWER - accounts that must mature in less than one
year. The funds are deposited in money markets as short term loans to businesses. They are
accounts in mutual funds
Mutual fund or EFT's - CORRECT ANSWER - have a large diverse amount of investments
making them hard to not grow where signing up for dividend reinvestment can create synergy
and they are hard to fail in the long run
Certificate of deposit - CORRECT ANSWER - A fixed timed deposit where you give you
money as a loan or deposit then at the end of the fixed time if the money is not touched you gain
the interest principle agreed on with the initial deposit
Financial Analysis - CORRECT ANSWER - Define the different financial decision models
and assumptions involved in making decisions relating to asset and investment management,
debt, equity, and leasing.
Investment management - CORRECT ANSWER - review investments to maximize returns
and minimize risks
Investments - CORRECT ANSWER - develop a strong pipeline of good quality investment
opportunities by anticipating market trends and employing sector or country knowledge
Management - CORRECT ANSWER - avoid crisis situations
