Financial Literacy Midterm Study Guide

On a credit card that features a variable rate of interest

What is Gayle's NET WORTH?

If you pay the full amount owed on your credit card each month, you can avoid paying interest on an outstanding balance

What is Jimmy's gross pay for this week?

An interest rate that remains the same each month

Money the government legally collects in order to pay for its programs

The ability to borrow money with the agreement to pay it back later

Money received from sources other than working at a job

A type of credit with which you can make payments and continue charging to the account up to your credit limit

Overtime pay for any hours worked beyond 40 hours in a week is paid at:

Bank credit cards are a form of installment credit

Days for which a worker is paid even though he or she did not work due to illness

A demand deposit account that allows safe and easy acces to the funds in the account to transfer or pay to others

Which of the following statements is NOT TRUE about overtime pay?

A pre-approved amount that can be borrowed for moderate purchases

Forms of pay for a job other than salary or wages, such as vacation days, health insurance, or retirement savings

Use of electricity, water, and other utilities that you will pay for later is an example of this type of credit

Days for which a worker is paid even though she or he is absent from work without having to give a reason

The actual borrowing of money that you will repay later

A written order to a bank to pay a stated amount to the person or business named is a(n)

Money a person has left over to spend or save after taxes have been paid

Money added to a checking or savings account is called a(n)

Money or benefits received from the government without working for them

Vacation days, holidays, and sick leave days are examples of pay without work

A business owner who takes the risk of owning and operating a business

What is Ananda's NET pay for this week?

A percentage of a sale paid to the salesperson who made it is called a:

What is Ananda's GROSS pay for this week?

Programs that reimburse employees for education costs:

Credit offered through an individual company or merchant

A worker who is paid $8 per hour at a regular rate would be paid $12 per hour at the standard overtime rate.

A benefit often received by full-time workers is...

A benefits package that allows employees to select the options they want from a number of choices given

A deposit that requires your deposit to be set aside for a fixed amount of time. Early withdrawal will trigger a penalty

A time deposit that will pay the market rate of interest on money deposited, usually more than most savings options

A checking account

Which form of credit requires that you pay the balance in full each month, but doesn’t charge any interest?

Dividends are....

Credit for a set amount, such as the cost of a refrigerator, that is paid off in parts over a set period of time is...

Salaried workers usually DO NOT keep time cards or count hours worked

A lender may require a borrower to provide collateral for a loan.

Some states have a minimum wage that is set at a higher rate than the federal minimum wage rate

A credit account with a fixed balance that you repay with equal payments over time