Unit 4: Personal Finance

A financial agreement between a lender and a borrower, who promises to repay the lender at a later date--generally with interest, is called

• credit.
• bartering.
• contracting.
• investing.

__________________ are fixed regular payments, typically paid monthly, based on an annual sum agreed upon by the employer and employee.

• Tips
• Salaries
• Wages
• Independent Contracts

_____________________ are a source of income paid regularly (typically quarterly) by a company to its shareholders out of its profits.

• Wages
• Salaries
• Dividends
• Capital Gains

_____________________ are a source of income based on profits from the sale of property or other tangible investments.

• Salaries
• Subsidies
• Dividends
• Capital Gains

Fixed regular payments, typically paid on a daily or weekly basis and earned hourly, are called ________________.

• Wages
• Tips
• Salaries
• Transfers

___________________ are a source of income based on an agreement between a customer and a company to perform a service or do a job; person/company does not typically receive payment until satisfactory completion of the job.

• Salaries
• Independent Contracts
• Dividends
• Capital Gains

____________________ are a souce of income given typically to a service worker as a gratuity from customers, based on the quality of service received.

• Wages
• Dividendens
• Tips
• Capital Gains

A collaborative investment of a group's money; usually managed professionally by a third-party broker, is called a ___________________.

• Individual Retirement Account
• Collective Bargaining
• Traditional 401k
• Mutual Fund

A _______________ is a promissory note (or IOU) issued by the US Treasury, a municipality, or a corporation, that is redeemable over time by the purchaser for the face value plus interest earned.

• Bond
• Dividend
• Stock
• Fiat

A ______________________ is an employer-sponsored retirement plan from a private company that allows eligible workers to save on a tax-deferred (withdawals taxed) basis.

• Roth 403b
• Traditional 401K
• Roth 529 Plan
• Traditional IRA