Financial literacy utah - Study guides, Class notes & Summaries

Annual Percentage Rate (APR) The annual rate that is charged for borrowing (or made by investing), expressed as a single percentage number that represents the actual yearly cost of funds over the term of a loan. This includes any fees or additional costs associated with the transaction. Bank A financial institution licensed as a receiver of deposits. There are two types of banks: commercial/retail banks and investment banks. In most countries, banks are regulated by the national gover...

401K -:- A qualified plan established by employers to which eligibl e employees may make salary deferral (salary reduction) contributions on a post-tax and/or pretax basis. Employers offering a 401(k) plan may make matching or non-elective contributions to the plan on behalf of eligible employees and may also add a profit-sharing feature to the plan. Earnings accrue on a tax-deferred basis. Advertising -:- To call public attention to, especially by pointing out desirable qualiti...

401k -:- Qualified plan for employees to make contributions on a post-tax or pretax basis with possible employer contributions and tax-deferred earnings. 403(b) -:- Retirement plan for nonprofit organizations 529 Plans -:- Tax-advantaged savings plans like the Utah Educational Savings Plan (UESP) for higher education costs. Advertising -:- Calling public attention to desirable qualities to create a desire to buy or do business. 2 | P a g e | G r a d e A + | 2 0 2 4 / 2 0 2 5 ...

ammortized loan - A loan that you "kill" away by paying it back but by bit Rule of 72 - The number of years it takes for a certain amount to double in value is equal to 72 divided by its annual rate of interest. Central Banking System - A nation's central bank that is established to regulate the money supply and oversee the nation's banks. In the United States the Federal Reserve is the central bank. A house payment - Principle, interest, property taxes, and insurance compound interest...

time value of money -:- Money now is worth more than in 20 years A house payment -:- Principle, interest, property taxes, and insurance compound interest -:- interest earned on both the principal amount and any interest already earned Payday Loan -:- a relatively small amount of money lent at a high rate of interest on the agreement that it will be repaid when the borrower receives their next paycheck. Central Banking System 2 | P a g e | G r a d e A + | 2 0 2 4 / 2 0 2 5 2 0...