Personal Finance Vocabulary

What is the term for the money you earn from working or investments?

• Income

• Expense

• Debt

• Liability

Which word describes the amount of money you owe to someone else?

• Asset

• Debt

• Equity

• Revenue

What is the term for a financial plan that helps you manage your money?

• Budget

• Loan

• Credit

• Investment

Which of the following is a synonym for 'savings'?

• Expenditure

• Deposit

• Liability

• Debt

What does 'interest rate' refer to in personal finance?

• The cost of borrowing money

• The amount of money saved

• The total income earned

• The value of an asset

Which term refers to the original amount of money borrowed or invested, excluding any interest or dividends?

• Principal

• Interest

• Equity

• Revenue

What is the term for the process of setting aside money for future use?

• Saving

• Spending

• Borrowing

• Investing

Which word describes the increase in value of an asset over time?

• Depreciation

• Appreciation

• Amortization

• Devaluation

What is the term for the money you pay regularly to live in a house or apartment?

• Rent

• Mortgage

• Lease

• Deposit

Which of the following terms refers to a loan specifically for purchasing property?

• Mortgage

• Credit

• Bond

• Lease