On Monday January 9th we will have the Ch.11 Test, which focuses on Saving and Investing. For this test ensure you study and know the following:
- 3 reasons why people save
- 3 benefits of a savings plan
- The 5 different types of savings plans:
2) GIC
3) Term Deposit
4) RRSP
5) RESP
- Safety & Liquidity
- Earnings & Yield
- Simple Interest & Compound Interest (review the definitions, formulas, and calculations)
- Investing and the advantages and disadvantages
- 6 Different types of Investments:
2) Corporate bonds
3) Stocks (common and preferred)
4) Mutual Funds
5) Real Estate
6) Collectables
- Be able to define and explain what a stock and bond is Ex: a unit of ownership in a company vs. a loan made to a company in exchange for repayment with interest
- Bid price vs. Asking price (Remember Bid= price the Buyer offers; ASking= price the Seller asks)
- Blue-chip company (3 characteristics) vs. Growth company
- The Rule of 72 (review the definition, formula, and calculations)
- Also review any of the other bolded terms in the chapter, as per usual
DON’T FORGET TO BRING YOUR CALCULATOR!
Good luck!!!
Following the test we will continue in Ch.13 on Banking, which we briefly started on Friday. In this chapter I’ll be teaching you about chequing accounts used for everyday transactions. I’ll explain all of the different types of transactions and financial services offered at a bank, as well as teach you how to write a cheque and keep an up-to-date transaction register. Since I have worked part-time at a bank over the last 5 years, this is one of my favorite chapters to teach! It is also incredibly relevant and useful, because everyone has to have a bank account, including you someday if you don't already!
See you in class!
