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12 Cards in this Set
- Front
- Back
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what is a emergency fund?
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An
amount of money you can obtain quickly in case of immediate need. |
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what is a line of credit ?
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A short-term
loan that is approved before the money is actu- ally needed. |
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what is a speculative investment?
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A
high-risk investment made in the hope of earning a relatively large profit in a short time. |
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what is a rate of return?
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The total
income you receive on an investment over a specific period of time divided by the original amount invested. |
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what is liquidity ?
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The ability to
buy or sell an investment quickly without sub- stantially affecting the investment’s value. |
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what is asset allocation?
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The
process of spread- ing your assets among several different types of investments (some- times referred to as asset classes) to lessen risk. |
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what is equity capital?
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Money that
a business obtains from its owners. |
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what is equity capital?
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Money that
a business obtains from its owners. |
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what is a dividend
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A distribution
of money, stock, or other property that a corpora- tion pays to stockholders |
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what is a corporate bond?
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A corpo-
ration’s written pledge to repay a specified amount of money, along with interest. |
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what is a government bond?
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The
written pledge of a gov- ernment or a municipality to repay a specified sum of money, along with interest. |
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what is amutual fund?
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An invest-
ment company that pools the money from many investors—its shareholders—to invest in a variety of securities |
