| Question |
 |
|
| Answer |
|
|
| Personal cash flow statement |
financial statement that measures a person's cash inflows and cash outflows |
| net cash flows |
cash inflows minus cash ouflows |
| budget |
A cash flow statement that is based on forecasted cash flows for a future period |
| personal balance sheet |
a summary of your assets (what you own), your liabilities (what you owe), and your net worth (assets minus liabilities) |
| liquid assets |
financial assets that can be easily sold without a loss in value |
| household assets |
items normally owned by a household, such as a home, car and furniture |
| bonds |
certificates issued by borrowers to raise funds |
| stocks |
certificates representing particial ownership of a firm |
| mutual funds |
investment companies that sell shares to individuals and invest the proceeds in investment instruments such as bonds or stocks |
| real estate |
rental property and land |
| rental property |
housing or commercial property that is rented out to others |
| current liabilities |
debt that will be paid within a year |
| long-term liabilities |
debt that will be paid over a period longer than one year |
Buen Viaje lv.2 ch 8
