MIDTERMS Flashcards
1
Q
financial product
A
- instruments that help you save, invest etc
- issued by various banks
2
Q
benefits of financial products
A
- convenience in our daily lives
- helps us manage our money
- tool for business
3
Q
classifications of financial products
A
- banking and cash
- investment
- credit and loan
- insurance
4
Q
banking and cash?
A
savings and time
5
Q
savings account?
A
held at a bank
100 php
6
Q
time deposit?
A
held for a fixed term
harder to withdraw
1000 php
7
Q
UITF? (unit investment trust funds)
A
- pooling of funds from other investors
- 10k minimum
- low to high risk
8
Q
credit card (benefits)
A
- plastic money
- safety
- temporary relief
9
Q
credit card
A
- additional charges from time to time
- late due is plus 5%
10
Q
insurance
A
company or gov’t agency provides a guarantee for compensation
low to high
11
Q
types of non-life insurance
A
- auto insurance
- home insurance
- personal accident insurance
- travel insurance
12
Q
T/F: buy low sell high
A
t
13
Q
rule of 72
A
no. of years = 72/interest rate
14
Q
types of income
A
passive and active
15
Q
passive
A
earned regularly without much effort
