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Key Terms

6.1 Understanding Percent

  • Percent
  • Fractional form
  • Decimal form
  • Total
  • Base
  • Percent of the total
  • Part
  • Amount

6.2 Discounts, Markups, and Sales Tax

  • Discount
  • Cost
  • Markup
  • Retail price

6.3 Simple Interest

  • Interest
  • Principal
  • Annual percentage rate
  • Simple interest
  • Term
  • Due
  • Origination date
  • Payoff amount
  • Future value
  • Partial payment
  • Present value

6.4 Compound Interest

  • Compound interest
  • Effective annual yield

6.5 Making a Personal Budget

  • Budget
  • Necessary expenses
  • Fixed expenses
  • Variable expenses
  • 50-30-20 budget philosophy

6.6 Methods of Savings

  • Savings account
  • 1099 form
  • Certificate of deposit
  • Money market account
  • Return on investment
  • Ordinary annuity

6.7 Investments

  • Bonds
  • Maturity date
  • Stocks
  • Dividend
  • Mutual fund
  • Prospectus
  • Issue price
  • Shares
  • Stock table
  • Individual retirement account
  • Roth IRA
  • 401(k)

6.8 The Basics of Loans

  • Fixed interest rate
  • Variable interest rate
  • Installment loan
  • Loan amortization
  • Revolving credit
  • Amortization table
  • Cost of finance

6.9 Understanding Student Loans

  • FAFSA
  • College funding gap
  • Subsidized loan
  • Unsubsidized loan
  • Parent loan for undergraduate students
  • Private student loan
  • School-channel loan
  • Direct-to-consumer loan
  • Standard repayment plan
  • Federal consolidation
  • Refinancing
  • Private consolidation
  • Graduated repayment plan
  • Extended repayment plan
  • Discretionary income
  • Pay as you earn (PAYE) repayment plan
  • Revised pay as you earn (REPAYE) repayment plan
  • Income-based (IBR) repayment plan
  • Income-contingent (ICR) repayment plan
  • Delinquent
  • Default
  • Rehabilitation

6.10 Credit Cards

  • Reward program
  • Annual fee
  • Credit limit
  • Bank-issued credit card
  • Store-issued credit card
  • Travel and entertainment cards
  • Charge cards
  • Billing period
  • Balance
  • Minimum payment
  • Average daily balance

6.11 Buying or Leasing a Car

  • Title and registration fees
  • Destination fee
  • Documentation fee
  • Dealer preparation fee
  • Extended warranty
  • Down payment
  • Acquisition fee
  • Security deposit
  • Disposition fees
  • Liability insurance
  • Collision insurance
  • Comprehensive insurance
  • Uninsured or underinsured motorist insurance
  • Medical payment insurance
  • Personal injury insurance
  • Gap insurance
  • Rental reimbursement insurance

6.12 Renting and Homeownership

  • Lease
  • Landlord
  • Mortgage
  • Escrow account
  • Assessed value

6.13 Income Tax

  • Gross income
  • Adjusted gross income
  • Exemption
  • Taxable income
  • Deduction
  • Tax credit
  • Earned income credit
  • American opportunity credit
  • Lifetime learning credit
  • Child tax credit
  • Child and dependent care tax credit
  • Premium tax credit
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