| A | B |
|---|
| SAVING | NOT SPENDING; EQUALS DISPOSABLE INCOME(AFTER TAX) MINUS SPENDING ON CONSUMPTION |
| SAVINGS | THE DOLLARS THAT BECOME AVAILABLE IN THE ABSENCE OF CONSUMPTION |
| FINANCIAL SYSTEM | NETWORK OF SAVERS, INVESTORS, AND FINANCIAL INSTITUTIONS THAT WORK TOGETHER TO TRANSFER SAVINGS TO INVESTORS |
| CERTIFICATE OF DEPOSIT | RECEIPT SHOWING THAT AN INVESTOR HAS MADE AN INTERST-BEARING LOAN TO A BANK |
| FINANCIAL ASSETS | CLAIMS ON THE PROPERTY AND THE INCOME OF A BORROWER |
| FINANCIAL INTERMEDIARIES | FINACIAL INSTITUTIONS THAT BRING TOGETHER THE FUNDS THAT SAVERS PROVIDE AND LEND THEM TO OTHERS |
| NONBANK FINANCIAL INSTITUTIONS | NONDEPOSITORY INSTITUTIONS THAT CHANNEL SAVINGS TO BORROWERS |
| FINANCE COMAPNY | FIRM THAT MAKES LOANS DIRECTLY TO THE CONSUMERS AND SPECIALIZES IN BUYING INSTALLMENT CONTRACTS FROM MERCHANTS WHO SELL GOODS ON CREDIT |
| BILL CONSOLIDATION LOAN | LOAN USED BY CONSUMERS TO PAY OFF OTHER BILLS |
| PREMIUM | THE PRICE THE INSURED PERSON PAYS REGULARLY FOR AN INSURANCE POLICY |
| MUTUAL FUND | A COMPANY THAT SELLS STOCK IN ITSELF TO INDIVIDUAL INVESTORS AND THEN INVESTS THE MONEY IT RECIEVES IN STOCKS AND BONDS ISSUED BY OTHER CORPORATIONS |
| NET ASSET VALUE( NAV) | THE NET VALUE OF THE MUTUAL FUND DIVIDED BY THE NUMBER OF SHARES ISSUED BY THE MUTUAL FUND |
| PENSION | A REGULAR PAYMENT INTENDED TO PROVIDE INCOME SECURITY TO SOMEONE WHO HAS WORKED A CERTAIN NUMBER OF YEARS, REACHED A CERTAIN AGE, OR SUFFERED A CERTAIN KIND OF INJURY |
| PENSION FUND | A FUND SET UP TO COLLECT INCOME AND DISBURSE PAYMENTS TO THOSE PERSONS ELIGIBLE FOR RETIREMENT, OLD-AGE, OR DISABILITY BENEFITS |
| REAL ESTATE INVESTMENT TRUST (REIT) | A COMPANY ORGANIZED TO MAKE LOANS TO COMPANIES TAHT BUILD HOMES |
| RISK | A SITUATION IN WHICH THE OUTCOME IS NOT CERTAIN, BUT THE PROBABILITIES OF DIFFERENT OUTCOMES CAN BE ESTIMATED |
| 401(K) PLAN | TAX-DEFERRED INVESTMENT AND SAVINGS PLAN THA T ACTS AS A PERSONAL PENSION FUND FOR EMPLOYEES |
| COUPON | STATED INTEREST ON DEBT |
| MATURITY | THE LIFE OF A BOND |
| PAR VALUE | PRINCIPLAE OR THE TOTAL AMOUNT INTIALLY BORROWED THAT MUST BE REPAID TO THE LENDER AT MATURITY |
| CURRENT YIELD | THE ANNUAL INEREST ON A BOND DIVIDED BY ITS PURCHASE PRICE |
| MUNICIPAL BONDS | BONDS ISSUED BY STAE AND LOCAL GOVERNMENTS |
| TAX-EXEMPT | THE FEDERAL GOVERNMENT DOES NOT TAX THE INTEREST PAID TO INVESTORS |
| SAVINGS BONDS | LOW-DENOMINATION, NONTRANSFERRABLE BONDS ISSUED BY THE UNITED STATES GOEVRNMENT |
| TREASURY NOTES | US GOVERNMENT OBLIGATIONS WITH MATURITIES OF TWO TO 10 YEARS |
| TREASURY BONDS | US GOVERNMENT BONDS THAT HAVE MATURITIES RANGING FROM MORE THAN 10 TO AS MANY AS 30 YEARS |
| TREASURY BILL(T-BILL) | SHORT-TERM US GOVERNMENT OBLIGATION WITH A MATURITY OF 13, 26, OR 52 WEEKS AND A MINIMUM DENOMINATION OF $10,000 |
