1

1. The type of loan for which consumers do not pay the full amount at the time of purchase, but pay a portion of the amount owed in regular payments, is called consumer _________.

   contingent

   uncertain

   credit

   rule

10 points

QUESTION 2

1. Loans with regular payments are called _________________ loans.

   future

   present

   installment

   value

10 points

QUESTION 3

1. _________ installment loans are loans in which the amount borrowed plus interest is repaid in a specified number of equal payments.

   Open-end

   Auto

   Charge

   Closed-end

10 points

QUESTION 4

1. ______________ loans are loans in which there is no fixed number of payments.

   Close-ended

   Terminal

   Nonterminal

   Open-ended

10 points

QUESTION 5

1. The _______ price is the price you pay if you pay the full amount at the time of sale.

   cash

   credit

   financed

   installment

10 points

QUESTION 6

1. The _______ payment is a partial payment of the cash price paid at the time of sale.

   cash

   down

   installment

   credit

10 points

QUESTION 7

1. The _________________ is the total amount you pay in regular payments to pay off the balance of the loan.

   down payment

   selling price

   amount financed

   terminal price

10 points

QUESTION 8

1. The installment _______ is the amount you pay each period, including interest, to pay off the loan.

   loan

   interest

   payment

   tax

10 points

QUESTION 9

1. The ________ price is the total paid, including interest, to pay off an installment loan.

   tax

   financed

   nominal

   installment

10 points

QUESTION 10

1. The interest associated with an installment loan is part of the charges referred to as _______charges or carrying charges.

   gifted

   finance

   latent

   taxable