NAF Final Exam Questions and Answers
finance manager - -An individual who manages money and assets, either for an individual
or for an organization. A finance manager is responsible for budgeting, forecasting, pricing
analysis, product-line analysis, and decision support for the organization.
-financial advisor - -A professional who provides financial planning and advice on financial
matters.
-financial analyst - -An employee of a bank, a brokerage, a financial advisor, or a mutual
fund company who studies companies and makes buy and sell recommendations; the
analyst often specializes in a single sector or industry.
-financial health - -A description of a person's or an organization's finances.
-financial holding company - -A financial institution that may offer a broad range of
banking-related services. The Federal Reserve Board regulates financial holding
companies.
-financial intermediary - -An institution that provides as a service for those who have
extra money to save or lend and channels it to those who wish to invest or borrow.
-financial literacy - -The ability of individuals to make appropriate decisions in managing
their personal finances.
-maturity date - -The date when a bond's principal is repaid to the investor.
-mergers - -The combining of two or more companies into one larger company.
-soft skills - -Knowledge and abilities that are not specifically job-related but aid in the
ability to perform the job well; these include politeness, professionalism, ability to
communicate, and writing ability.
-minimum payment - -The smallest amount a borrower can pay in a billing cycle to keep
the account in good standing.
-mobile banking - -A type of banking whereby transactions are made via a smartphone or
tablet app. The account holder can transfer money between accounts, pay bills, deposit
checks, and monitor account activity.
-mobile payment - -A type of smartphone app that lets an account holder pay people and
businesses using a cell phone. Also referred to as "mobile money" and "mobile wallet."
-money - -A current medium of exchange in the form of coins and banknotes.
, -money market - -The financial market for short-term borrowing and lending.
-NASDAQ (National Association of Securities Dealers Automated Quotations) - -The largest
electronic stock exchange in the United States, founded in 1971. Unlike the NYSE, it has no
physical location and exists entirely in cyberspace.
-National Credit Union Administration (NCUA) - -An independent federal agency that
serves to supervise and regulate federal credit unions. It also provides account insurance
for many state-chartered credit unions through the National Credit Union Share Insurance
Fund.
-net worth or wealth - -The value of a person's, community's, company's, or country's
assets less the amount of their liabilities.
-New York Stock Exchange (NYSE) - -The oldest and largest securities market in the
United States, founded in 1972. It is located on Wall Street in New York.
-mortgage - -A loan used to purchase a home. The property is used as security.
-mortgage loan processor - -A person who prepares mortgage loan files by reviewing loan
applications, clarifying or obtaining additional information, confirming mortgage loan
application information by mailing verification forms and contacting verification sources,
and obtaining mortgage loan documentation by ordering credit reports, appraisals, titles,
and related information.
-municipal bond - -A bond issued by the state or local government. The unique benefit of
municipal bonds is that their interest is exempt from federal taxation.
-mutual funds - -Investment products that combine the money from a large group of
investors to buy stocks and other investments.
-morals - -Principles concerned with the goodness or badness of human action and
character.
-money market account - -A type of savings account that offers higher interest rates, with
higher minimum deposit levels than a regular savings account.
-NYSE MKT (formally known as AMEX) - -An American stock exchange located in New
York. Its core business revolves around small to mid-size stocks, options, and ETFs. It has a
reputation for holding the most liberal policies concerning company listings.
-option - -The right, but not the obligation, to buy or sell a specific item (commodity,
currency, security, stock and so on) at a fixed price on a specific date.
-over-the-limit fee - -A fee charged to credit borrowers who exceed their credit limit.
finance manager - -An individual who manages money and assets, either for an individual
or for an organization. A finance manager is responsible for budgeting, forecasting, pricing
analysis, product-line analysis, and decision support for the organization.
-financial advisor - -A professional who provides financial planning and advice on financial
matters.
-financial analyst - -An employee of a bank, a brokerage, a financial advisor, or a mutual
fund company who studies companies and makes buy and sell recommendations; the
analyst often specializes in a single sector or industry.
-financial health - -A description of a person's or an organization's finances.
-financial holding company - -A financial institution that may offer a broad range of
banking-related services. The Federal Reserve Board regulates financial holding
companies.
-financial intermediary - -An institution that provides as a service for those who have
extra money to save or lend and channels it to those who wish to invest or borrow.
-financial literacy - -The ability of individuals to make appropriate decisions in managing
their personal finances.
-maturity date - -The date when a bond's principal is repaid to the investor.
-mergers - -The combining of two or more companies into one larger company.
-soft skills - -Knowledge and abilities that are not specifically job-related but aid in the
ability to perform the job well; these include politeness, professionalism, ability to
communicate, and writing ability.
-minimum payment - -The smallest amount a borrower can pay in a billing cycle to keep
the account in good standing.
-mobile banking - -A type of banking whereby transactions are made via a smartphone or
tablet app. The account holder can transfer money between accounts, pay bills, deposit
checks, and monitor account activity.
-mobile payment - -A type of smartphone app that lets an account holder pay people and
businesses using a cell phone. Also referred to as "mobile money" and "mobile wallet."
-money - -A current medium of exchange in the form of coins and banknotes.
, -money market - -The financial market for short-term borrowing and lending.
-NASDAQ (National Association of Securities Dealers Automated Quotations) - -The largest
electronic stock exchange in the United States, founded in 1971. Unlike the NYSE, it has no
physical location and exists entirely in cyberspace.
-National Credit Union Administration (NCUA) - -An independent federal agency that
serves to supervise and regulate federal credit unions. It also provides account insurance
for many state-chartered credit unions through the National Credit Union Share Insurance
Fund.
-net worth or wealth - -The value of a person's, community's, company's, or country's
assets less the amount of their liabilities.
-New York Stock Exchange (NYSE) - -The oldest and largest securities market in the
United States, founded in 1972. It is located on Wall Street in New York.
-mortgage - -A loan used to purchase a home. The property is used as security.
-mortgage loan processor - -A person who prepares mortgage loan files by reviewing loan
applications, clarifying or obtaining additional information, confirming mortgage loan
application information by mailing verification forms and contacting verification sources,
and obtaining mortgage loan documentation by ordering credit reports, appraisals, titles,
and related information.
-municipal bond - -A bond issued by the state or local government. The unique benefit of
municipal bonds is that their interest is exempt from federal taxation.
-mutual funds - -Investment products that combine the money from a large group of
investors to buy stocks and other investments.
-morals - -Principles concerned with the goodness or badness of human action and
character.
-money market account - -A type of savings account that offers higher interest rates, with
higher minimum deposit levels than a regular savings account.
-NYSE MKT (formally known as AMEX) - -An American stock exchange located in New
York. Its core business revolves around small to mid-size stocks, options, and ETFs. It has a
reputation for holding the most liberal policies concerning company listings.
-option - -The right, but not the obligation, to buy or sell a specific item (commodity,
currency, security, stock and so on) at a fixed price on a specific date.
-over-the-limit fee - -A fee charged to credit borrowers who exceed their credit limit.
