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chapter 20

TermDefinition
consumer a person who buys goods and services
disposable income money income left after all taxes on it have been paid
discretionary income money income left after necessities have been bought and paid for
consumerism a movement to educate buyers about the purchases they make and demand better and safer products from manufacturers
comparison shopping buying strategy to get best buy for the money
warranty the promise by the manufacturer or seller to replace a faulty item within certain time period
budget a plan for making and spending money
income money received from labor, business, or property
expense money spent on goods and services
credit money borrowed to pay for a good or sevice
annual percentage rate (APR) annual cost of credit expressed as a percentage of the amount borrowed
collateral a property or valuable item serving as security for a loan
bankruptcy inability to pay debts
save to set aside some money to use later
interest the payment people receive when they lend money or allow someone else to use there money
principal most important
return profit earned through investing
stock ownership share of a corporation
dividend payment of a portion of a company's earnings
bond a contract to repay borrowed money with interest at a specific time in the future
mutual fund pools of money from many people who are interested in a selection of individuals stocks and bonds chosen by financial experts
impulse buying when you buy something that interests you but is not needed
Popular History sets

 

 



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