Exam 18: Appendix :personal-Finance-Appendix

Instead of using cash, Dorothy uses a bank card to pay for most of her purchases. She likes to remain debt-free, so she uses a card in which the purchase amount is immediately deducted from her bank account. In this case, Dorothy is using a _____.

In the context of acquiring financial assets, a full-service broker:

In the context of financial securities, bondholders are entitled to receive an amount known as _____ when the bond matures.

Which of the following is a factor that affects an individual's Fair, Isaac and Company (FICO) score?

Investors acquire many of their financial assets, including shares of common and preferred stocks, corporate bonds, and certain other financial assets (such as ETFs), by purchasing them in derivatives markets.

To supplement his income, Billy has invested in a financial instrument. Each year, he receives an interest payment on his investment. He will also receive an amount known as the principal on the maturity of the investment. Based on the given information, Billy has most likely invested in a(n) _____.

Discuss some of the most common choices of financial instruments for a diversified investment portfolio.

In the context of savings, identify a true statement.

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

Which of the following is an employee-contribution retirement plan?

Rhonda has been working for 42 years and has reached retirement age. She is eligible for the 401(k) employee-contribution retirement plan. Based on the given information, Rhonda most likely works in:

In the context of building wealth for retirement, identify a true statement about a Roth individual retirement account (IRA).

Which of the following statements is true of government securities?

A _____ allows the cardholder to make a purchase now and pay the card issuer later.

The Consumer Financial Protection Bureau:

_____ refers to your ability to obtain goods or resources without having to make immediate payment.

Which of the following statements is true of internships?

Which of the following is a difference between preferred stock and common stock?

Dexter invests in Adderson & Lipton Co., a local bank in Arizona. He makes an investment that will reach maturity after a fixed term of two years. Dexter will regularly receive an interest on his investment, and this interest will be substantially higher than the interest he receives on the savings account he has in the same bank. In the context of financial securities, Dexter has invested in _____.

Which of the following is a condition included in a credit card agreement?