Personal Finance Final Exam Review

Interest paid on interest previously earned

The zero-based ________ gives every dollar a name on purpose on paper before the month begins

When you buy a house you should have at least a 10% downpayment & not more than a __ year loan

Which of the following types of investment carries the greatest risk?

Which of the following is a good investment option?

The biggest difference between a debit card and a credit card is:

Which statement is true about diversification when it comes to investing?

The offer of 'easy financing' is often used by companies as a

A life insurance policy that covers a specic period of time.

You have to 'build credit' in order to survive financially.

When the mortgage holder sells the property because the payments haven't been made on time

Refers to the financial opportunity given up because you did something else with your money

Life insurance provides a monetary payout to ___, the person you elect to receive the money.

The time frame that a loan is in force, at the end of which it should be paid in full

The main federal agency designed to enforce consumer protection laws

This allows an asset to be converted quick into cash without a loss of value

A savings account established for large purchases, in advance of the purchase, over time

The knowledge & skill set necessary to be an informed consumer & manage finances effectively

Responsible banking includes all of the following EXCEPT

This type of expense changes in dollar amount every month, such as utility bills or groceries