Module 5 Flashcard Review

Front

Which line on a check designates who will receive the money?

Back

Payee line

Front

When filling out a deposit slip, which line designates Cash Back? Options: Total, Net Deposit, Less Cash Received, Checks

Back

Less Cash Received

Front

A person writes a check for more money than he has in his checking account. In order for the check to be paid by the bank, he needs to have: Credit Insurance, A Credit History, A Joint Account, Overdraft Protection

Back

Overdraft Protection

Front

A sum provided at the beginning of the lease to ensure payment for any incurred damages is a ______________________.

Back

Security Deposit

Front

A __________________ also known as a BANK DRAFT, is a check written by a bank on its own funds.

Back

Cashier's Check

Front

To determine the time value of depositing $100 in a savings account, a person needs to know the interest rate and which of the following: their total income, whether the account is FDIC protected, the rate of inflation, whether the bank offers overdraft protection?

Back

the rate of inflation

Front

It is generally better for a person to buy a home that she can afford than to rent an apartment because she will _______.

Back

build equity

Front

Duncan creates a budget where he plans on buying a car for $5,000. He finds one and buys it for $4,000. The result is:

Back

a $1,000 budget surplus

Front

Which of the following is an example of a VARIABLE expense? Rent, Groceries, Mortgage, Car Payment

Back

Groceries

Front

Money left over after paying taxes AND EXPENSES is called:

Back

Discretionary Income