Foundations in Personal Finance Vocabulary
Help!
|
|
||||
|---|---|---|---|---|---|
| Consumer | A person or organization that uses a product of service
🗑
|
||||
| Credit | The granting of a loan and the creation of debt; any form of deferred payment
🗑
|
||||
| Debt | The obligation of repayment owed by one party (the debtor/borrower) to a second party (the creditor/lender); in most cases this includes repayment of the original loan amount plus interest
🗑
|
||||
| Economy | A system by which goods and services are produced and distributed
🗑
|
||||
| Financial literacy | The knowledge and skillset necessary to be an informed consumer and manage finances effectively
🗑
|
||||
| Interest | A fee paid by a borrower to the lender for the use of borrowed money; typically interest is calculated as a percentage of the principal (original loan amount)
🗑
|
||||
| Loan | A debt evidenced by a "note," which specifies the principal amount, interest rate and date of repayment
🗑
|
||||
| Personal finance | All of the decisions and activities of an individual or family regarding their money, including spending, saving, budgeting, etc.
🗑
|
||||
| Compound interest | Interest paid on interest previously earned; credited daily, monthly, quarterly or semiannually
🗑
|
||||
| Emergency fund | Five hundred dollars in readily available cash to be used only in the event of an emergency; the goal of the First Foundation
🗑
|
||||
| Interest rate | Percentage paid to a lender for the use of borrowed money (in debt); percentage earned on invested principal (in investing)
🗑
|
||||
| Five Foundations | The five steps to financial success
🗑
|
||||
| Sinking fund | Saving money over time for a large purchase
🗑
|
||||
| Inflation | The persistent increase in the cost of goods and services or the persistent decline in the purchasing power of money
🗑
|
||||
| Interest-Bearing Account | An account that generates interest income on the available balance in the account
🗑
|
||||
| Budget | A written cash flow plan
🗑
|
||||
| Cash Flow Statement | A summary that shows total income and spending for a given time period
🗑
|
||||
| Carbon Check | A copy of each check you write
🗑
|
||||
| Envelope System | Series of envelopes that are divided into categories (food, entertainment, gas, etc.) and are used to store cash for planned monthly expenses
🗑
|
||||
| Impulse Purchase | An item that is bought without previous planning or consideration of the long-term effects
🗑
|
||||
| Overdraft | Occurs when money is withdrawn from a bank account and the available balance goes below zero
🗑
|
||||
| Reconcile | To match your bank statement with your checkbook
🗑
|
||||
| Zero-Based Budget | A cash flow plan that assigns an expense to every dollar of your income, wherein the total income minus the total expenses equals zero
🗑
|
Review the information in the table. When you are ready to quiz yourself you can hide individual columns or the entire table. Then you can click on the empty cells to reveal the answer. Try to recall what will be displayed before clicking the empty cell.
To hide a column, click on the column name.
To hide the entire table, click on the "Hide All" button.
You may also shuffle the rows of the table by clicking on the "Shuffle" button.
Or sort by any of the columns using the down arrow next to any column heading.
If you know all the data on any row, you can temporarily remove it by tapping the trash can to the right of the row.
To hide a column, click on the column name.
To hide the entire table, click on the "Hide All" button.
You may also shuffle the rows of the table by clicking on the "Shuffle" button.
Or sort by any of the columns using the down arrow next to any column heading.
If you know all the data on any row, you can temporarily remove it by tapping the trash can to the right of the row.
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.
Normal Size Small Size show me how
Normal Size Small Size show me how
Created by:
ACC124
Popular Finance sets