Deca

Question 1

Functions of money

Answer 1

Money is a universal Medium for trade, and its also a measure of value, meaning it allows people to compare the worth of products. Money can also be saved and act as a store of value.

Question 2

Sources of income

Answer 2

The most common source is employment income which is compensation for manual labour. Self employment income is for people who work for themselves. Investment income is made from investments like dividends from stocks or interest from savings accounts. Retirement invome is from special accounts for retirement like pensions or annuities. Some people get money from Government programs like social security or unemployment benefits.

Question 3

credit

Answer 3

To apply for a credit card, you need to disclose your personal information, the amount you pay for rent or mortgage, your SIN and your employment details like income. Credit allows People and buisnesses to pay for items over a set period of time instead of immediately. Insurance and Rent payments do Not affect your Credit Score, but Car payments, mortgage payments and utility Bills do. So do Bank overdrafts, which is when you try to withdraw more Money than you have in your Bank account and the bank just gives you the extra Money. 30 percent of your Credit Score is how much of your available credit you actually use. you should aim to use less than 30 percent of it. Its also a good idea to make more than the Minimum repayment. A history of Using Credit responsibly makes people more likely to get loans and lower interest rates because it means that they are likely to pay the lender back. 20% is whether you were approved for Last Times you Applied for Credit. When you’re denied a line of credit, you can get a copy of your credit report from a major credit bureau. 15% is how Long your Credit history is, and the other ten percent is the type of credit you use. A FICO score is a type of credit score between 300 and 850. Secured credit is backed by collateral, and unsecured is not.

Question 4

Legal responsibilities associated with finance

Answer 4

There are laws to protect consumers from unfair practices like discrimination. Buisnesses arent allowed to hide things about loans and stuff, like APY or repayment terms. They also cant collect data about customers and use it for whatever they want

Question 5

Net worth

Answer 5

Net worth is a person’s total wealth. To determine list all your assets and sum up the value of each. Then do the same with your everything that you owe and subtract the total from your assets. The result is your net worth and it’s a good way to assess your overall financial health.

Question 6

Charitable giving

Answer 6

Charitable giving is the voluntary donation of resources to organizations that benefit society. The Benefits are personal fullfilment, a sense of purpose, and potential tax deductions.

Question 7

Managing online accounts

Answer 7

Group your accounts Set strong passwords, enable two factor authentification, and regularly Update Information.

Question 8

None

Answer 8

Divide the product of the interest rate, the principal, and the time period by 100

Question 9

None

Answer 9

Using credit wisely involves borrowing only if you can repay and making the repayment on time. Its also a good idea to pay more than the minimum repayment and to limit the amount of credit that you use.

Question 10

Hpw to make responsible financial decisions

Answer 10

Set financial goals
Budget and track expenses save and invest wisely
Avoid unnecessary debt
Compare multiple financial products
Seek professional advice

Question 11

Financial goals

Answer 11

To be financially stable you must set specific, measurable and actionable goals and continuously monitor your progress towards those goals.

Question 12

None

Answer 12

A personal budget is a plan that tracks income and expenses. It also must differentiate between fixed and variable expenses.

Question 13

Tax liabilities

Answer 13

Taxes are payments you make to the Government in exchange for the services they provide. The amount of money you pay depends on things like your income or the amount of deductions youre allowed to make.

Question 14

Paycheck

Answer 14

A paystub or paycheck is a legal notice listing the money that is deposited into an employees bank Account as compensation for ohysical labour. It includes gross and net earnings, taxes, voluntary deductions amd employer contributions. A pay stub is Á summary of ám employees earnings over a specified period of time.

Question 15

Protect against identity theft

Answer 15

Safeguard peronal Info
Dont use public wifi
Use different passwords for each Account
enable two factor authentofication
Shred important documents
Check credit reports

Question 16

loan

Answer 16

You won’t have a credit score if you never borrow. To apply for a loan, Identify the purpose of the loan because the helps accuratly gauge the amount you need to borrow. Then Reasearch lenders
Check your credit score
Gather necessary documents
Fill out the application
Review loan terms

The extra amount is the cost of credit or interest. To determine it multiply the interest rate, the time period and the principle, them divide the product by 100. A part of using credit wisely is borrowing only if you can repay, because Whether you repay loans on time is 30% of your credit score.

Question 17

Control debt

Answer 17

Create a budget
Pritorize high interest debt
Make more than minimum payments
Consolidate multiple debts into one
Dont take new debt untill youve paid off old debt

Question 18

Ways to finance post secondary

Answer 18

Loans are sums given to people that must be repaid, and grants are the same but they dont have to be repaid. Scholarships are like grants but they are only given to people based on certain criteria. Work study programs provide part time employment on campus.

Question 19

Retirement planning

Answer 19

Set Retirement goals
Estimate retirement expenses
Save for retirement
Social Security and pension benefits

Question 20

Estate planning

Answer 20

Estate planning is the procedd of aranging assets such that they are distributed as you wish when you die. It involves wills, trusts, power of attorney, tax implications, and minimizing conflicts from beneficiaries

Question 21

Financial service providers

Answer 21

Banks offer a range of services Like savings accounts, loans and credit cards. Credit unions are like banks, but they are nonprofit and owned by there own members. They have lower fees and better interest rates. Insurance companies offer different types of insurance like car or life insurance. Investment firms mainly help people invest and manage those Investments. Mortgage lenders give people loans to purchase rental properties. The primary responsibility of all financial services providers is growing and protecting their clients wealth. When choosing a financial institution, look at whether they have loans, mortgages, cheques, and associated credit cards. Also check whether they do currency exchange.

Question 22

Consoderations in selecting a financial service provider

Answer 22

Ensure they are regulated by financial authorities, the securities and exchange commission in the US. check to see if they offer a range of services that meet your needs. Understand all the fees such as Savings Account Interest rates, checking account fees, And the interest rate on which you can take out a loan.

Question 23

Types of investments

Answer 23

Stocks are ownership in a Company and can offer potential returns through capital appreciation and dividends. Bonds are where investors lend money to the government or a Corporation in exchange for regular interest payments and return of the principal amount at maturity. Mutual funds are pools of money from multiple investors to invest in a diversified portfolio of stocks, bonds or other assets. Exchange traded funds are similar to mutual funds but trade on stock exchanges. Investing in Real estate is the puchasing of rental properties for rental income or capital gains. Cryptocurrencies are digital currencies that a volatile. They aren’t controlled by a bank or government, so they use cryptography to secure transactions.

Question 24

None

Answer 24

550 to 620

Question 25

None

Answer 25

680 to 740

Question 26

None

Answer 26

Over 740

Question 27

Á Reason the Government is more involved in Business is

Answer 27

Peoples Attitudes have changed