Personal Finances Final

The cost of borrowed money, usually expressed as a percentage.

• interest

• savings plan

• liquidity

• grace period

Amount of money originally borrowed

• Earnest money

• Principal

• Annual percentage rate (APR)

• Interest

401(k), IRA, and Roth IRA are all examples of a __________ account.

• Retirement

• College Savings

• Low Interest

• Checking

Not putting all of your "eggs in one basket" when it comes to saving for retirement has to with which concept?

• Balancing

• Guaranteed

• Diversified

• Saving

This term refers to the original amount of a loan OR the original amount of money invested.

• Principal

• Interest

• Rebate

• Cash

This is an obligation of repayment, usually including principal plus interest; any time you owe someone money.

• compound interest

• credit

• debit

• debt

The first step of financial freedom, often a savings account where you set aside money for unexpected events or accidents.

• Certificate of Deposit

• Emergency fund

• IRA account

• 401K account

How easily or how quickly you can convert something into cash is its _______.

• diversity

• liquidity

• yield

• gratuity

John was trying to decide which type of account would bring him the most return on his money. He didn't need the money for 10 years. Which account would bring him a better return?

• Checking Account

• Savings Account

• Piggy bank

• Certificate of deposit

Term that applies to the ability to buy something now and pay for it later over a period of time (usually with having to pay a finance charge and/or the addition of interest).

• Savings

• Debit

• Budgeting

• Credit