genmath

Question 1

is an annuity where the payment interval
coincides with the interest compounding
period

Answer 1

SIMPLE ANNUITY

Question 2

is an annuity where the payment dates do not
coincide with the interest compounding period

Answer 2

GENERAL ANNUITY

Question 3

• is an annuity where payments are made at
  the BEGINNING of each payment interval

Answer 3

ANNUITY DUE

Question 4

is an annuity where payments are made at the
END of each payment interval

Answer 4

ORDINARY ANNUITY

Question 5

is an official evidence
of part-ownership of a stock
company which may be used
in claiming company’s
assets and earnings

Answer 5

Stock

Question 6

is an official promissory
document issued by the debtor
stating the acknowledgement of
the amount of debt and the pledge
to pay back the loaned amount and debt

Answer 6

Bond

Question 7

is the amount of interest
are paid first to
preferred shareholders.

Answer 7

DIVIDEND

Question 8

is the amount which will be paid
to the bondholder on the
maturity date

Answer 8

MATURITY VALUE

Question 9

is a belief that in an ideal efficient
market, all participants-investors are
aware of all available relevant market
information at any time and have used
the stocked knowledge they have,
including predictions of market trends
in trading stocks, bonds, and other
securities.

Answer 9

Theory of Efficient Markets

Question 10

represent ownership in a company. When you buy a stock, you become a shareholder and own a portion of the company.

Answer 10

stock

Question 11

represent a loan made by the investor (bondholder) to a company, government, or other entity. The issuer of the bond agrees to pay back the principal amount with interest.

Answer 11

Bonds

Question 12

is a financial arrangement where one party (the lender) provides money, property, or other assets to another party (the borrower) with the agreement that the borrower will repay the amount over time, often with added interest.

Answer 12

Loan

Question 13

assets used to secure the loan. It may be
real-estate or other investments

Answer 13

Collateral-

Question 14

a loan, secured by collateral, that the
borrower is obliged to pay at specified terms.

Answer 14

Mortgage

Question 15

are required to effect a loan. Usually,
consumer loan is required to present a copy of tax return
and credit certificate. Business loan borrowers are
required to present a copy of tax return and credit
certificate, and at least three recent consecutive financial
statements duly accomplished by a CPA

Answer 15

Documentation

Question 16

– a process of paying a loan (principal and
interest) on instalment basis, usually of equal amounts at
regular intervals.

Answer 16

Amortization

Question 17

money lent specially for a
business purpose. It may be used to start a
business or to have a business expansion.

Answer 17

Business Loan

Question 18

-money lent to an individual for
personal or family purposes

Answer 18

Consumer loan