Vocab Test #1

An ________________ is anything an individual or business owns that has commercial or exchange value.

The amount owed on a loan or a credit card or the amount in a savings or investment account is the __________________.

An itemized summary of probable income and expenses for a given period is called a _________________.

Cash or other resources accumulated and available for use in producing wealth is ______________

• Investment
• Capital
• Profit
• Revenue

Money OWED; also known as a liability

• Debt
• Profit
• Asset
• Equity

Ownership interest in an asset after liabilities are deducted:

• Equity
• Liability
• Asset
• Capital

A federally chartered corporation that insures bank deposits up to $250,000

• Federal Deposit Insurance Corporation (FDIC)
• Federal Reserve System (FRS)
• Securities and Exchange Commission (SEC)
• Internal Revenue Service (IRS)

Money an individual or organization owes; same as debt

• Credit
• Liability
• Asset
• Equity

The unpaid balance on a loan, not including interest; the amount of money invested

• Principal
• Interest
• Amortization
• Equity

A service depository institutions offer whereby people can deposit their money for future use and earn interest is called a _______________________________