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Finance Vocabulary

unit 11 words to know

TermDefinition
interest money paid on a loan usually a % of the amount
debt money owed
penalty extra money that is paid when a debt isn't paid on time
reliability when someone can be counted on to pay a debt
investment spending money now to get a larger amount later
attractive something that seems like a good idea
temptation something that makes you want to purchase an item
discipline the ability to wait for something until you can afford it
skimp having to get by on less
default failure to pay back a loan
barter to trade without money
market a place where large amounts of trades take place
transaction the process of making a trade
commodity goods that are traded
token something valuable used to make a trade, like shells or beads
valuable something that has worth, like gold or gems
durable goods that last a long time
currency printed money
coin money made from metals
goods and services products and things people do that have value
income all the ways you earn money
salary money paid for rendering a service or work for a week or month
expense things that have a cost
receipt a record of expenses
essential costs that can't be avoided. For example a housing bill
variable costs or expenses that may change from month to month
bankruptcy when a person has no way to pay their debts
possessions all the things a person owns that have value
Created by: daniel.king
 

 



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