28 Questions
What does the term 'Annual Percentage Rate' reflect?
The amount of interest earned or charged
What does 'Equal Principal Repayments' provide?
Accrued interest on the unpaid balance, plus an equal amount of the principal
What best describes the tag lines mentioned in the text?
They are used by top banks in the Philippines to encourage investment during difficult times
What is the maximum deposit insurance coverage for all bank deposits mentioned in the text?
Ph 500,000 per depositor or per financial institution
Which type of account offers.25% interest annually on the deposit?
Savings Accounts
In which account can funds be easily accessible for withdrawal anywhere and anytime?
Savings Accounts
For whom are Checking accounts suitable?
Small and big businessmen, companies, and institutions like schools and hospitals
What is the main purpose of issuing checks instead of withdrawing large amounts in cash?
To make business transactions safer than carrying big amounts of cash for payment
'Tangible assets' include which of the following?
Real Estate and Hard Assets
'Investment' can be described as:
An asset acquired for generating future income or appreciation
Which of the following best defines amortization?
The reduction of debt over time by paying the same amount each period
What does a fixed interest rate offer borrowers?
A fixed interest percentage to pay back over an agreed period of the loan
What are intangible assets?
Assets that are not physical in nature
What is the principal amount in relation to a loan?
The initial size of a loan and can also refer to a loan balance that is still outstanding
What is meant by negative amortization?
An increase in the principal balance of loan caused by a failure to cover the interest due on a certain loan
What is an amortized loan?
A loan to be repaid by a series of regular installments of principal and interest that are equal or nearly equal
What is the main focus of the learning competency (essential competencies) mentioned in the text?
Describing the six key areas of personal financial planning
What is the purpose of the 'Let’s Understand (Study the Concept)' section mentioned in the text?
To discuss the advantages and disadvantages of investment
What is the significance of the internet link provided in the text?
To show examples of people who went broke due to poor financial planning
What is the key takeaway from the story about top celebrities who went broke, as per the text?
Overspending practices and lack of appropriate investments can lead to bankruptcy
What is the expected outcome after going through Module No. 3, according to the text?
Describing personal financial planning processes
What is the primary factor that personal finance depends on?
Cost of living and personal goals
According to the text, what is the foundational principle of personal finance?
The Best Protection Is Knowledge
What does 'Risk and Return Go Hand in Hand' imply in the context of personal finance?
Higher risk invariably results in higher returns
What is the significance of 'The Importance of Liquidity' in personal finance?
It highlights the importance of readily convertible assets
What does 'Protection against Major Catastrophes' involve in personal finance?
Insurance coverage for natural calamities
What does 'Waste Not, Want Not- Smart Spending Matters' emphasize in personal finance?
Prioritizing lower need items in a budget
How does 'Nothing Happens Without a Plan' relate to personal finance?
It emphasizes the need for goal-based financial planning
Test your knowledge on different types of investments, their basic features, and how to differentiate between them. This quiz covers the learning competency of comparing and contrasting various investment options.
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