Financial Literacy-Ch 10

The portion of a corporations profits distributed to stockholders is called a/an

Emergency Funds should equal 2-4 months

A strategy that involves regularly setting aside cash that can be used to achieve goals.

You sold your $500 investment for $565, what is the ROI?

A collection of investments

Money set aside for unplanned expenses is known as

The accumulation of assets over your lifetime is called

Ownership interest in a publicly held company

A performance measure used to evaluate the efficiency of an investment

An ideal investment would include

The potential for change in the value of your investment is known as

Two example of intermediate goals would be

A strategy that involves a planned approach to making investments on a regular basis

The ability to meet current & future needs while living comfortably.

The amount invested should grow overtime exceeding the rate of inflation.

A debt instrument issued by a corporation is known as

Money set aside for the future, aka deferred spending is known as

What are some factors that will affect the types of investments included in one's portfolio?

to maximize investment return investors should

Buying & selling stocks based on what the market is expected to do is known as

A market of prolonged period of rising stocks prices is called a

A prolonged period of rising stock prices

Holding a variety of investments for the purpose of reducing overall risk

Rate of return is calculated by

A postponement of taxes to be paid

Contingencies are planned or possible events.

The money and items of value you own are called

The strategy to earn more on your money than the rate of inflation

Systematic saving & investing are important for building financial security in the long term.

The base amount of an investment on which interest is computed is called

Calculate ROI; sold stock for $130 that you purchased for $119 and you received a $5 dividend.

When creating a financial plan one must include

When selecting an investment you must weigh the risk versus the possible return expected.

Two types of investments with low risk would be

A measure of how quickly an asset can be turned into cash is known as