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4.1 - Financial Assets

Name: ___________________________________
Horizontales
Accumulated savings
How easily an asset converts to cash without losing purchasing power
An interest bearing asset, a form of an "IOU" to be paid at a later date
A _____ asset is a paper (or electronic) claim that give the holder rights to future income from the seller
Also called checking accounts
The percent change in the value of an initial investment in a year
The most liquid form of financial asset.
A financial asset that indicates the owner has equity in a corporation. Has value because it can be sold in the market and when it pays dividends.
Verticales
A financial instrument used by firms and individuals to finance purchases. They are not commonly traded, and interest must be paid on them.
a claim on a tangible object that gives the owner the right to dispose of the object as he or she wishes
Your personal savings account is a ______ for a bank.
The price charged by lenders for the use of their money
A financial institution functioning as an intermediary for lenders and borrowers
An item of value that is expected to give the owner some future benefit
Uncertainty