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Pfan Econ 3

Pfan Econ Types of Savings

QuestionAnswer
Funds deposited for a set period of time; usually a penalty for early withdrawal. Interest rate dependent upon time limit on deposit Time deposit
Shares in corporations. Owners sometimes earn income from dividends. Stock
Pays a fixed interest rate; money can be withdrawn at any time. Passbook savings
Sold by the government. Might be sold for half of their actual value and reach full value after a period of time. Savings bond
Pooled funds of investors, managed by professionals; funds usually invested in stocks and bonds. Mutual fund
Called NOW accounts; owner can write checks on the account, which also earns interest Interest-bearing checking
Purchase of land and/or buildings; money is made when it is sold for more than what was paid for it. Real estate
Created by: ekeasley
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