Understanding Economics Chapter 11.2
Across
- 2. principal of a bond or total amount borrowed
- 6. retirement account in the form of a long-term time deposit, with annual contributions not taxed until withdrawn during retirement
- 7. United States government obligation with a maturity of 2 to 10 years
- 9. not subject to tax by federal or state governments
- 14. a type of investment, often tax exempt, issued by state and local governments; known as munis
- 15. bond’s annual coupon interest divided by purchase price; measure of a bond’s return
- 16. United States government bond with maturity of 30 years
- 18. a market in which financial capital is loaned and/or borrowed for one year or less
Down
- 1. market in which financial capital is loaned and/or borrowed for more than one year
- 3. person designated to take ownership of an asset if the owner of the asset dies
- 4. market in which only the original issuer can sell or repurchase a financial asset; government savings bonds, IRAs, small CDs
- 5. stated interest on a corporate, municipal or government bond
- 8. life of a bond or length of time funds are borrowed
- 9. short-term United States government obligation with a maturity of 4, 13, 26, or 52 weeks and a minimum denomination of $100
- 10. market in which all financial assets can be sold to someone other than the original issuer; corporate bonds, government bonds
- 11. exceptionally risky bond with a Standard & Poor’s rating of BB or lower that carries a high rate of return as compensation for the higher possibility of non-payment
- 12. low-denomination, non-transferable bonds issued by the federal government, usually through payroll savings plans
- 13. to balance higher levels of risk with a larger payoff
- 17. formal contract to repay borrowed money and interest on the borrowed money at regular future intervals