Vocabulary Week 1

Question 1

Barter

Answer 1

to trade one good of monetary value for another good of monetary value

Question 2

Cash card

Answer 2

a financial tool that generally has a card that is preloaded with money already established the on card (i.e a gift card)

Question 3

Cashless Society

Answer 3

the idea that society will continue to increase in paperless options for financial exchanges to specifically include cash and money

Question 4

Check

Answer 4

A piece of paper that shows a routing number, account number, and pay to order. The purpose of a check is to show which bank the money is coming from and who the money is supposed to go to

Question 5

Revolving Debt

Answer 5

Debt that increases and decreases

Question 6

Credit Card

Answer 6

Revolving debt that can be used in order to purchase items that are needed immediately, but the consumer does not have the monies available

Question 7

Debit Card

Answer 7

a card thats purpose is to withdraw monies that the consumer already has from a checking account

Question 8

Dependents

Answer 8

the number of individuals that are financially taken care of by another individual. At least %50 of or more during the year are kids. This goes into the calculations of taxes.

Question 9

Earnings

Answer 9

Income earned in a variety of methods (i.e employment, rental income, investments)

Question 10

Electronic Transfer

Answer 10

the idea that we are electronically - by mobile phone or computer - moving monies from one location to another. (i.e moving monies from saving accounts to checking accounts)

Question 11

Employment Benefits

Answer 11

nonmonetary compensation that is given to an employee to entice them to work for the employer. Benefits are considered to be an optional deduction.

Question 12

Exemption/ Allowance

Answer 12

a certain amount that is subtracted from taxes owed and is written on the W4 form

Question 13

Federal Taxes

Answer 13

taxes that are given to the federal government. This is a required deduction

Question 14

Fringe Benefits

Answer 14

outside of the norm extras given to employees (i.e a company car)

Question 15

Gross Wages

Answer 15

the amount of money earned during a given time period before any deductions are taken out (i.e $10 per hour x 40 hours per week is $1,600 per month)

Question 16

Income

Answer 16

any money that is received either through employment, investments, other benefits or assets (i.e house or car)

Question 17

Garnishments

Answer 17

any money taken away from the consumer before they get paid (i.e child support)

Question 18

Human Capital

Answer 18

employees that contribute to the overall well-being of a company (i.e with knowledge)

Question 19

Gift Card

Answer 19

a preloaded card that has a certain amount of money on it that can be used immediately

Question 20

Income Tax Deductions

Answer 20

items that are subtracted from gross wages in order to calculate the net pay.

Question 21

Inflation

Answer 21

the price increase of goods and services from year to year

Question 22

Inheritance

Answer 22

Money given to an individual(s) as a result of someone’s death

Question 23

Internal Revenue Service (IRS)

Answer 23

takes in the tax revenue from consumers

Question 24

Life Cycles

Answer 24

the amount of life that a certain set of equipment or asset has. It is used to calculate depreciation

Question 25

Local Taxes

Answer 25

taxes paid to the local government in the consumers area. This is a mandatory deduction

Question 26

Money

Answer 26

a form of means that is used to exchange goods or services from one consumer to another (i.e dollar, euro, and ruby)