Final

Question 0

Cover letter

Answer 0

A letter of introduction that you send with your resume to a potential employer

Question 1

Resume

Answer 1

A brief summary of your job application, including education/skills

Question 2

Common stock

Answer 2

A voting share of ownership in a corporation for which the dividend varies, as determined by the board of directors

Question 3

401K

Answer 3

A tax deferred retirement plan offered to employees by their employers

Question 4

Checking account

Answer 4

A bank account that allows depositors to write checks to make payments

Question 5

Direct deposit

Answer 5

Depositing an employee’s pay into the employee’s bank account electronically

Question 6

Cancled check

Answer 6

A check that has been paid w/ the banks stamp on it

Question 7

Cashier’s checks

Answer 7

Banks own personal check signed by cashier. Payment of this check comes from the banks own funds

Question 8

Savings account

Answer 8

An account where you deposit in a savings institution that earns a fixed interest for a specific period of time

Question 9

Money market account

Answer 9

A deposit for which the interest rate changes over time as interest rates in the economy change

Question 10

Savings & loan

Answer 10

A financial institution that specializes in lending money to buy homes

Question 11

Credit unions

Answer 11

Financial institution that provides banking services to people that share a common bond

Question 12

Mutual funds

Answer 12

A business that accepts deposits from many people to invest in various ways

Question 13

Diversification

Answer 13

Distributing funds among a variety of investments to minimize overall risk

Question 14

Inflation

Answer 14

General increase in the average level of prices in a nation’s economy

Question 15

Creditworthiness

Answer 15

A measure of your ability and willingness to repay a loan

Question 16

Character

Answer 16

A measure of your financial responsibility, often based on credit history

Question 17

Capacity

Answer 17

A measure of financial ability to repay a loan

Question 18

Capital

Answer 18

The value of what you own, including savings, investments and property

Question 19

Credit limit

Answer 19

The maximum amount that you may charge on your credit account

Question 20

Term life insurance

Answer 20

Life insurance that pays a death benefit if the policyholder dies within a specific time period but has no remaining value at this time

Question 21

Mortgage

Answer 21

Loan to buy real estate, such as land or a home

Question 22

Down payment

Answer 22

% of the purchase price that the borrower pays up front

Question 23

Insurance

Answer 23

Risk management tool that limits financial loss due to illness, injury or damage in exchange for a premium