Samenvattingen, Aantekeningen en Examens

One way that leads a person to earn additional income is for the person to - Answer-Increase her knowledge or improve skills Entrepreneurs who start a new business with the hope of making a profit are - Answer-Accepting the risk of financial loss if unsuccessful Income can be earned or unearned. Which of the following is an example of unearned income? - Answer-Interest from bank accounts Which of the following terms is correctly matched - Answer-Gross income- salary before taxes What stra...

W-4 - A federal tax form filled out by an employee to indicate the amount that should be withheld from his/her paycheck for taxes. W-2 - A statement of an individual's annual wages and taxes provided by an employer that must be included with the employee's federal, state, and city income tax returns. Unemployment insurance - payments to people who lost their jobs; previous employers make the payments. Workers compensation - A form of insurance paid by the employer providing cash benefits...

The next best choice you could have made, but did not make. - Opportunity Cost Some opportunity costs for the Robinsons. - Having less time to relax, less time to go out to dinner, and less money to spend. Physical, intellectual, and creative talents of people. - Human resources Gifts of nature. Includes, water, forests, natural gas, oil, and climate. - Natural resources Goods that are used to produce other goods and services. Includes, tools, factories, equipment, and office buildings. - ...

Consumer - A person or organization that uses a product or service Credit - The granting of a loan and the creation of debt; any form of deferred payment Debt - An obligation of repayment owed by one party (the debtor/borrower) to a second party (the creditor/lender); in most cases this includes repayment of the original loan amount plus interest Economy - A system by which goods and services are produced and distributed Financial Literacy - The knowledge and skillset necessary to be an inf...

Economics is the study of how individuals and societies satisfy their unlimited wants with limited resources. a. True b. False - correct answer a. True When rising interest rates make borrowing more costly, how does it affect the business cycle? a. It causes consumers to consume more and increases demand. b. It lowers demand, decreases household purchases, and promotes contraction. c. It causes conflicts overseas and reduces a nation's ability to import goods. d. It increases produ...

Financial Literacy Final Exam | with complete solution

Economics is the study of how individuals and societies satisfy their unlimited wants with limited resources. a. True b. False - correct answer a. True When rising interest rates make borrowing more costly, how does it affect the business cycle? a. It causes consumers to consume more and increases demand. b. It lowers demand, decreases household purchases, and promotes contraction. c. It causes conflicts overseas and reduces a nation's ability to import goods. d. It increases produ...

How much time will you spend in the classroom between first grade and by time you graduate high school? - 15,000 and 20,000 hours The average career will last _____________hours. - 86,000 hours True - True or False? People who love their jobs tend to be much happier than people who hate their jobs, no matter how much money they make. What is "take-home pay?" - The amount of money you take home after taxes. What four items are being withheld from your paychecks? - Federal incom...

Job - a position of employment with specific duties and compensation Lease - a written contract specifying the terms for the use of an asset and the legal responsibilities of both parties to the agreement, such as a landlord and tenant Liability - an actual or potential financial obligation Liquidity - the quality of an asset that permits it to be converted quickly into cash without loss of value. For example, a mutual fund is more liquid than real estate. Living will - a docume...

In order to get spending under control, a person should first - create a budget of current income and expenses. Comparison shopping for a car is necessary because - the price for the car can vary a great deal. Financial planners generally stress the importance of starting to save and invest early because - of the power of compounding and appreciation. An important feature of a good financial goal is that the goal - has a specific time frame. Purchasing power decreases and it cost...