Financial Literacy Final Exam Review

The total amount of an employee's earning before deductions are taken out.

• Net Pay

• Commission

• Bonus

• Gross Pay

The loss of potential gain from other alternatives when one alternative is chosen over the others.

• Stop Loss Limit

• Opportunity Cost

• Conditions

• Security

Reimburses you for unexpected losses or damages caused by a specific set of hazards to a specific thing for a fee.

• Deductible

• Asset

• Insurance

• Riders

Free money paid for the benefit of a student at an educational institution to aid the pursuit of his/her studies.

• Scholarship

• Student Loan

• Bonus

• Premium

A type of investment in which one buys shares in a particular company.

• Security

• Mutual Fund

• Bond

• Stock

An investment in a variety of stocks/bonds that is professionally managed.

• Mutual Fund

• Stock

• Bond

• Security

Amount that must be paid before insurance coverage kicks in.

• Premium

• Bonus

• Deductible

• Conditions

Something of value that can be converted to cash.

• Commission

• Gross Pay

• Asset

• Liability

Additional insurance coverage for specific items.

• Deductible

• Riders

• Stop Loss Limit

• Premium

T or F: Collision coverage pays for repairs to your car if you hit another car or object.

• True

• False