Personal Finance

Front 1

Rise in the general levels of prices...???

Back 1

Inflation

Front 2

The cost of money is called....??

Back 2

Interest

Front 3

What are the types of Financial goals?

Back 3

Short term- to be achieve within a year
Intermediate- time frame 1 to 5 years
Long term- Beyond 5 years

Front 4

What are on the 1st line of a balance sheet?

Back 4

Liquid assets- already cash or can be quickly converted

Front 5

what are some examples of illiquid?

Back 5

Real estate and collectibles

Front 6

The inability to pay debts when they are due is called??

Back 6

Insolvent

Front 7

What is current ratio?

Back 7

liquid assets/ current liabilities

Front 8

what is liquidity statements?

Back 8

Liquid assets/monthly expenses

Front 9

what is Debt payment ratio?

Back 9

monthly credit payments/ take-home pay

Front 10

what is savings ratio?

Back 10

amount saved each month/gross income
**** Should be at least 10%****

Front 11

What are liabilities???

Back 11

Amounts owed to others but do not include items not yet due, such as next months rent

Front 12

Actual inflow and outflow of cash during a giving period of time is called??

Back 12

Cash Flow

Front 13

What is a cash flow statement?

Back 13

a summary is cash reciepts and payments for a given period, such as a month or year

Front 14

The inflows of cash to an individual or household cash payments for living expenses and other items are the second component of the cash flow is called?

Back 14

Income

Front 15

what are variable exps?

Back 15

a flexible payment that charge from month to month

Front 16

what do investments assets consist of ???

Back 16

Money set-aside for long term

Front 17

A budget or spending plan is necessary to....

Back 17

-live within your income
-spend your money wisely
-reach your financial emergencies
-develop use financial mgmt habit

Front 18

How you spend your time and money is called what?? it is also strongly influenced by your career, family and personal values

Back 18

Life style

Front 19

the budget process has how many steps and explain!!

Back 19

The budget process has 7 steps
1) Setting Financial Goals
2) estimating income
3) Budgeting an emergency funds and savings
4) Budgeting fixed expenses definite obligation
5) Budgeting variable expenses
6) Recording spending amounts
7) Reviewing spending and
saving patterns -evaluate, reassess and revise your financial goals

Front 20

A successful budget should be...??

Back 20

1) well- planned
2) realistic
3)Flexible
4) Clearly communicated

Front 21

the transfer each payday, auto deposit, coins, pay-roll deduction is called???

Back 21

Saving techniques

Front 22

Common goals in tax planning include.....?

Back 22

-Knowing current tax laws
-maintiaining complete records
- making financial decisions that can reduce your tax liability

Front 23

what is the principal purpose of taxes?

Back 23

to finance government activities

Front 24

the imposed on specific government and services such as gas, cigarettes, alcohol, tires and air travel is called..??

Back 24

Excise tax

Front 25

what are the income tax fundamentals?

Back 25

1) computing taxable income
2) calculating the amt of tax owed
3) Comparing this amt with income tax payments withheld or made during the year

Front 26

what does AGI stand for?

Back 26

Adjusted Gross Income

Front 27

What is FICA?

Back 27

A law that requires a worker's pay to withheld for social security. It stands for Federal Insurance Contribution Act.