| A | B |
|---|
| gross pay | total amount of $ earned,before taxes |
| budget variance | difference between planned & actual spending |
| fixed expenses | regularly occurring & paid expenses(rent/insurance) |
| income | $ person earns/receives during given period of time |
| money management | planning how to get the most out of your money |
| budget | plan of expected income/expenses over certain period of time |
| deductions | $ taken out of a paycheck for expenses(insurance/taxes/retirement) |
| expenditures | items you have to spend money on(food/rent/clothes/bills) |
| check register | checkbook/log used to record checking account transactions |
| bank statement | bank's record of how much $ person has taken out/put into account |
| outstanding checks | written checks that haven't been cashed |
| endorsement | payee's signature on back of check |
| overdrawing | writing checks for more $ than is in account |
| canceled checks | checks written that have been cashed |
| overdraft protection | line of credit to cover overdrawn check |
| direct deposit | paycheck is electronically deposited in employee's bank account |
| fiscal year | accounting period of a business: year |
| financial plan | outline:expenses/needs/goals of business |
| balance sheet | report of financial state of a business on a particular date |
| income statement | report of net income of business |
| financial statement | report of net income/net losses of business |
| assets | anything of value that business/individual owns |
| maturity date | date when invested money can be taken out by investor |
| simple interest | interest from only the amount of money deposited no interest |
| statement savings account | traditional savings account-bank sends statement |
| opportunity cost | not buying it now so that you can buy it later |
| liquidity | ability to quickly turn investment into cash |
| passbook savings account | all transactions are recorded in depositor's book |
| money market fund | savings account from brokerage firms-invests your money |
| compound interest | interest($) on interest($) |
| certificate of deposit | savings account-needs certain amount of $, must stay in bank for certain time |
| savings | money put aside for future use |
| broker | specializes in buying/selling stock |
| capital loss | selling stock for less than it cost to buy it |
| blue chip stock | stocks in large companies w/good success history |
| yield | amount of return on your investment |
| inventory | assets of a business |
| stock | ownership shares of a business |
| preferred stock | when owners of stock get certain priviledges |
| capital gain | selling stock for more than it cost to buy it |
| speculative stock | stocks in new, uncertain companies |
| mutual fund | pool of investor's money,used to invest in other stocks/bonds |
