Exam 18: Appendix :personal-Finance-Appendix

A(n) _____ is an interest-earning account that is intended to satisfy obligations that your checking account cannot handle.

Which of the following is a similarity between stockholders and bondholders?

In the context of establishing a sizable savings balance, the concept of "pay yourself first" suggests that you:

Which of the following statements is true of common stockholders?

Unlike his friend who has a credit score of 450, Rashid has a credit score of 688, which lets him purchase more goods on credit than his friend. In the context of the Fair, Isaac and Company (FICO) scale, Rashid falls under the _____ category of creditworthiness.

Which of the following is a factor that is most likely to discourage people from trying to spend funds from their retirement accounts?

Russel worked for Motena Publishing House for 40 years. On his retirement, he received the full benefits of the 401(k) employee-contribution retirement plan. Russel was able to obtain the full advantage of the retirement benefits because he had successfully completed the _____ in the company.

In the context of financial securities, identify a similarity between stocks and bonds.

Emma runs a salon but does not make much profit from her business. She likes to go on holidays frequently and spends most of her income on vacations. Emma knows that she needs to cut down on her expenses or it would be difficult to bear the daily expenses in the future. In the context of Emma's budget, her expenditures on vacations can be referred to as _____.

Nancy holds common stock in Suiznon Inc., an electrical goods manufacturing company. Although Nancy paid only $4,300 for the stock at the time of its purchase, the price of the stock goes up by $400 in the market after six months. In this case, Nancy will earn _____.

In the context of financial securities, certificates of deposit with longer maturities typically earn a lower interest rate than certificates of deposit that have shorter terms.

Quinton is a wine connoisseur. Every month, he spends a substantial amount of his income to purchase wine from a boutique that sells a variety of imported wines. In this scenario, Quinton's expenditure on wines is an example of a(n):

In the context of credit card practices, a mandate of the Credit Card Accountability, Responsibility and Disclosure Act of 2009 is that:

Sarah uses a card issued by Northend Bank for all her purchases. Her transactions are cashless, and the purchase amount is immediately withdrawn from her bank account. In this case, Sarah uses a _____.

Internships usually offer no monetary compensation, but they pay off in other ways.

Which of the following is a difference between Exchange Traded Funds (ETFs) and mutual funds?

In the context of acquiring financial assets, which of the following is a result of competition among brokerage firms?

The most commonly used credit scoring system is the Fair, Isaac and Company (FICO) scale. The FICO scale runs from _____.

Identify a true statement about government securities.

Hans has an account in Grancore Bank and uses a credit card issued by the bank. He uses the credit card for various forms of transactions. In the context of credit card usage, when Hans has unpaid balances, Grancore Bank will charge him a(n) _____ on the due amount.