Unit III Review Guide

Mr. Stewart’s Economics Class

Fall Semester 2016

Consumer Debt and Installment Purchasing:

Risk Credit Credit Report (Bureaus) Credit Score (Components) ***Identity-Theft*** Principal Interest (APR) Debt (DTI) Bankruptcy Types of Credit C’s of Credit

Budgeting:

Income/Wages (Hourly, Salary, Commission) Fixed and Variable expenses Impulse buying

Banking and Saving:

Bank versus Credit Union Credit versus Debit Cards Types of Accounts (Checking, Savings, Money Market, CD) Check, check register, balance, overdraft, online banking/bill pay, bank statement

Investing:

Types of investments (stocks, bonds, mutual funds) Retirement Accounts (IRA, 401(k), Pensions, Social Security) Diversification Stock Exchange/Market (Dow, Nasdaq, and S&P) Bear and Bull Markets Liquidity, share, dividend, broker and brokerage accounts

Contracts (legally binding)

State and Federal Taxes:

Income, Sales, and Property Taxes Gross versus Net Difference between W-4, W-2, and 1040 Progressive versus Regressive Taxes Deductions and Allowances Earnings and Benefits

Personal Insurance:

Auto (Comprehensive and Liability) Home (Renter’s) Life Health

Comparison of Prices (Covered throughout, emphasis in Micro with equilibrium)

Student Loans:

Public versus Private Advantages and Disadvantages FAFSA, Deferral, Government Programs, Scholarships and Grants

Identity-Theft (Covered under Credit)

Homeownership:

Mortgage and escrow Conventional versus Adjustable Sub-Prime and Predatory Lending Foreclosure Down Payment