MIDTERMS Flashcards
financial product
- instruments that help you save, invest etc
- issued by various banks
benefits of financial products
- convenience in our daily lives
- helps us manage our money
- tool for business
classifications of financial products
- banking and cash
- investment
- credit and loan
- insurance
banking and cash?
savings and time
savings account?
held at a bank
100 php
time deposit?
held for a fixed term
harder to withdraw
1000 php
UITF? (unit investment trust funds)
- pooling of funds from other investors
- 10k minimum
- low to high risk
credit card (benefits)
- plastic money
- safety
- temporary relief
credit card
- additional charges from time to time
- late due is plus 5%
insurance
company or gov’t agency provides a guarantee for compensation
low to high
types of non-life insurance
- auto insurance
- home insurance
- personal accident insurance
- travel insurance
T/F: buy low sell high
t
rule of 72
no. of years = 72/interest rate
types of income
passive and active
passive
earned regularly without much effort
active
services have been performed
wage
- hourly based payment
- fixed income
- rank and file employee
salary
- associated w employee compensation annual basis
- supervisors and up
- fixed income
tips
- addition to the basic price
- variable income
commission
- fee paid for services, percentage of the total cost
- salespersons
- variable
SSS
- social security system
- protection against disability, sickness
philhealth
practical means of paying medical care
13th month pay
salary /12
plus previous
taxation
- levying tax
- individuals and businesses pay taxes
