Focus on Personal Finance, Ch. 4 1- Describe a deposit type financial institution and a non-deposit type institution that you use. Explain how you use it and why you like or dislike those institutions. Focus on Personal Finance, Ch. 5 2- What is consumer credit? Give an example of an "inexpensive loan" and an "expensive loan." What actions could be taken if a person gets into financial difficulty as a result of overusing credit, according to Kapoor et al? Focus on Personal Finance, Ch. 10 Please reword this paragraph in your own words and please do not use the same exact words as in the paragraph. · 3- Whole-life policies, a type of permanent insurance, combine life coverage with an investment fund. Here, you're buying a policy that pays a stated, fixed amount on your death, and part of your premium goes toward building cash value from investments made by the insurance company.  Cash value builds tax-deferred each year that you keep the policy, and you can borrow against the cash accumulation fund without being taxed. The amount you pay usually doesn't change throughout the life of the policy. Universal life is a type of permanent insurance policy that combines term insurance with a money market-type investment that pays a market rate of return. To get a higher return, these policies generally don't guarantee a certain rate. Variable life and variable universal life are permanent policies with an investment fund tied to a stock or bond mutual-fund investment. Returns are not guaranteed.  A term policy is straight insurance with no investment component. You're buying life coverage that lasts for a set period of time provided you pay the monthly premium. Annual-renewable term is purchased year-by-year, although you don't have to prequalify by showing evidence of good health each year. Focus on Personal Finance, Ch. 11 Please reword this paragraph in your own words and please do not use the same exact words as in the paragraph. · 4- In assessing investments such as stock, investors consider the stock's valuation, strategy, plans for diversification and appetite for risk. Stocks are evaluated in many ways, and most of the common measuring sticks are easily available online or in the print and online versions of The Wall Street Journal. Investors seeking better value seek out stocks paying higher yields than the overall market, but that's just one consideration for an investor when deciding whether or not to purchase a stock. Picking stocks is much like evaluating any business or company you might consider buying. After all, when you buy a stock, you're essentially purchasing a stake in a business. Assessment Activity - Loan Rates 5-Expand view Search for websites that include bank loan rates. Determine current rates for both a 60-month and a 36-month loan on a new car where the buyer must finance $20,000.  Answer the following questions by clicking on the New Message icon: · Using the loan calculator, what is the difference in monthly p ...

1. Focus on Personal Finance, Ch. 4
1- Describe a deposit type financial institution and a non-
deposit type institution that you use. Explain how you use it and
why you like or dislike those institutions.
Focus on Personal Finance, Ch. 5
2- What is consumer credit? Give an example of an
"inexpensive loan" and an "expensive loan." What actions could
be taken if a person gets into financial difficulty as a result of
overusing credit, according to Kapoor et al?
Focus on Personal Finance, Ch. 10
Please reword this paragraph in your own words and please do
not use the same exact words as in the paragraph.
· 3- Whole-life policies, a type of permanent insurance,
combine life coverage with an investment fund. Here, you're
buying a policy that pays a stated, fixed amount on your death,
and part of your premium goes toward building cash value from
investments made by the insurance company. Cash value builds
tax-deferred each year that you keep the policy, and you can
borrow against the cash accumulation fund without being taxed.
The amount you pay usually doesn't change throughout the life
of the policy. Universal life is a type of permanent insurance
policy that combines term insurance with a money market-type
investment that pays a market rate of return. To get a higher
return, these policies generally don't guarantee a certain rate.
Variable life and variable universal life are permanent policies
with an investment fund tied to a stock or bond mutual-fund
investment. Returns are not guaranteed. A term policy is

2. straight insurance with no investment component. You're buying
life coverage that lasts for a set period of time provided you pay
the monthly premium. Annual-renewable term is purchased
year-by-year, although you don't have to prequalify by showing
evidence of good health each year.
Focus on Personal Finance, Ch. 11
Please reword this paragraph in your own words and please do
not use the same exact words as in the paragraph.
· 4- In assessing investments such as stock, investors consider
the stock's valuation, strategy, plans for diversification and
appetite for risk. Stocks are evaluated in many ways, and most
of the common measuring sticks are easily available online or in
the print and online versions of The Wall Street Journal.
Investors seeking better value seek out stocks paying higher
yields than the overall market, but that's just one consideration
for an investor when deciding whether or not to purchase a
stock. Picking stocks is much like evaluating any business or
company you might consider buying. After all, when you buy a
stock, you're essentially purchasing a stake in a business.
Assessment Activity - Loan Rates
5-Expand view
Search for websites that include bank loan rates.
Determine current rates for both a 60-month and a 36-month
loan on a new car where the buyer must finance $20,000.
Answer the following questions by clicking on the New
Message icon:
· Using the loan calculator, what is the difference in monthly
payments between the 60-month loan and the 36-month loan?
Review the amortization tables. What is the difference in total
interest one would pay over the life of these two loans? What do
these differences show you about the true cost of the car?
Credit Cards Pros and Cons

3. · 6- If you're paying 20% interest on your credit card balance
and let's say hypothetically that there is no late penalties, when
will the debt balance double according to the "rule of 72"?
When would your money double if you put your money into a
CD at 2%, according to the rule of 72?
Consumer Loans: Mortgages and Other Loans
Please reword this paragraph in your own words and please do
not use the same exact words as in the paragraph
· 7- The two main types of mortgages are fixed rate and
adjustable rate. Fixed rate is exactly that; a consistent rate
throughout the mortgage. An adjustable rate or ARM, is when
there is a fixed rate for 3-7 years, and then the rate changes in
relation to whichever index it is tied to, such as treasury
securities. They usually come with caps on how high the rate
can rise. An ARM is better for someone who intends to sell the
house before the adjustable rate comes into play on the
mortgage. HELOCS or home equity loans are taken out of the
equity of the house.
Managing Debt
Please reword this paragraph in your own words and please do
not use the same exact words as in the paragraph
8- The main purpose of the video was explaining managing and
controlling debt by utilizing budget. One thing I liked, it stated
to study your budget and figure out what could be adjusted to
lower that monthly amount to pay towards debt. Another great
tip, is when paying off credit cards; the video suggested looking
at the interest rates, and paying off the card with higher interest
rates. It also mentioned working on the credit score by
continually monitoring your credit and seeing what it is that
needs to be attended to or adjusted. This is the good part of

4. credit. In order for our economy and banking systems to
revolve, borrowing money and credit cards are good. As long
as everyone manages appropriately it will increase the credit
and help the banks obtain money to lend to other and put that
money into the economy. Also, having a credit score, it allows
someone to borrow for a car loan or mortgage; by having a good
credit score interest rates are lower and more money can be
lent. Paying off credit cards, making payments on time, and
making sure at least min amount is being paid; patience is
required for the credit score to mature.
Focus on Personal Finance, Ch. 4
1
-
Describe a deposit type financial institution and a non
-
deposit type institution
that you use. Explain how you use it and why you like or dislike
those
institutions.
Focus on Personal Finance, Ch. 5

5. 2
-
What is consumer credit? Give an example of an "inexpen
sive loan" and an
"expensive loan." What actions could be taken if a person gets
into financial
difficulty as a result of overusing credit, according to Kapoor et
al?
Focus on Personal Finance, Ch. 10
Please reword this paragraph in your own words and please do
not use the same exact words as in the paragraph
.
o
3
-
Whole
-
life policies, a type of permanent insurance, c
ombine life coverage with an
investment fund. Here, you're buying a policy that pays a stated,
fixed amount on your death,
and part of your premium goes toward building cash value from
investments made by the
insurance company.
Cash value builds tax

6. -
defer
red each year that you keep the policy, and
you can borrow against the cash accumulation fund without
being taxed. The amount you
pay usually doesn't change throughout the life of the policy.
Universal life is a type of
permanent insurance policy that comb
ines term insurance with a money market
-
type
investment that pays a market rate of return. To get a higher
return, these policies generally
don't guarantee a certain rate. Variable life and variable
universal life are permanent policies
with an investment
fund tied to a stock or bond mutual
-
fund investment. Returns are not
guaranteed.
A term policy is straight insurance with no investment
component. You're
buying life coverage that lasts for a set period of time provided
you pay the monthly
premium. Annual
-
renewable term is purchased year
-
by
-
year, although you don't have to
prequalify
by showing evidence of good health each year.

7. Focus on Personal Finance, Ch. 11
Please reword this paragraph in your own words and please do
not use the same exact words as in the paragraph.
o
4
-
In assessing investments such as stock, investors consider the
stock's
valuation, strategy, pl
ans for diversification and appetite for risk. Stocks are
evaluated in many ways, and most of the common measuring
sticks are easily
available online or in the print and online versions of The Wall
Street Journal.
Focus on Personal Finance, Ch. 4
1- Describe a deposit type financial institution and a non-
deposit type institution
that you use. Explain how you use it and why you like or dislike
those
institutions.
Focus on Personal Finance, Ch. 5
2- What is consumer credit? Give an example of an
"inexpensive loan" and an
"expensive loan." What actions could be taken if a person gets
into financial

8. difficulty as a result of overusing credit, according to Kapoor et
al?
Focus on Personal Finance, Ch. 10
Please reword this paragraph in your own words and please do
not use the same exact words as in the paragraph.
o 3- Whole-life policies, a type of permanent insurance,
combine life coverage with an
investment fund. Here, you're buying a policy that pays a stated,
fixed amount on your death,
and part of your premium goes toward building cash value from
investments made by the
insurance company. Cash value builds tax-deferred each year
that you keep the policy, and
you can borrow against the cash accumulation fund without
being taxed. The amount you
pay usually doesn't change throughout the life of the policy.
Universal life is a type of
permanent insurance policy that combines term insurance with a
money market-type
investment that pays a market rate of return. To get a higher
return, these policies generally
don't guarantee a certain rate. Variable life and variable
universal life are permanent policies
with an investment fund tied to a stock or bond mutual-fund
investment. Returns are not
guaranteed. A term policy is straight insurance with no
investment component. You're
buying life coverage that lasts for a set period of time provided
you pay the monthly
premium. Annual-renewable term is purchased year-by-year,
although you don't have to
prequalify by showing evidence of good health each year.
Focus on Personal Finance, Ch. 11

9. Please reword this paragraph in your own words and please do
not use the same exact words as in the paragraph.
o 4- In assessing investments such as stock, investors consider
the stock's
valuation, strategy, plans for diversification and appetite for
risk. Stocks are
evaluated in many ways, and most of the common measuring
sticks are easily
available online or in the print and online versions of The Wall
Street Journal.