Personal Finance 3

Front

What is a budget?

Back

A budget is a financial plan that estimates income and expenses for a specific period of time.

Front

What is a variable expense?

Back

A planned expense that can change each month.

Front

What is a certificate of deposit?

Back

A certificate of deposit is a financial product offered by banks and credit unions that allows individuals to deposit money for a fixed period of time at a fixed interest rate.

Front

What is a mutual fund?

Back

A mutual fund is an investment that contains a variety of stocks.

Front

What is diversification?

Back

Not putting all your eggs in one basket.

Front

What is safer? Options: Stocks, Physical asset, Savings

Back

Savings

Front

What is a bond?

Back

When a person loans money to the government or business and gets money back plus interest.

Front

Which investment provides diversification? Options: Stocks, Mutual Funds, Budget

Back

Mutual Funds

Front

What financial institution is owned by its members and usually has higher interest on savings?

Back

CREDIT UNION

Front

What financial institution loans out money at very high interest rates?

Back

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