an be charged for credit.2. Bankruptcy: the inability to pay debts based on the income received; a condition in which debtors give up most of what they own for distribution to creditors.Chapter 6Section 11. Condominium: separately owned single unit in an apartment building or a series of townhouses.2. Depreciate: decline in value over time; occurs as an item wears out or becomes outdated.Section 21. Closing costs: fees involved in arranging for a mortgage or in transferring ownership of property; can include fees for title search, legal costs, loan application, credit report, house inspections, & taxes.2. Points: fee paid to a lender & computed as percentage points of a loan.3. Equity: amount of money invested in a property minus the debt, such as the mortgage payments that are still owed.Section 31. Excise tax: tax on the manufacture, sale, or use within the country of specific products, such as liquor, gasoline, or automobiles.2. Liability insurance: pays for bodily injury & property damage.Chapter 7Section 11. Money market: 2. Time deposits: savings plans that require savers to leave their money on deposit for certain periods of time.3. Certificates of deposit: time deposits that state the amount of the deposit, maturity, & rate of interest being paid.Chapter 15Section 31. Demand deposits: money deposited in a bank that can be withdrawn at any time; now called checkable deposits.2. M1: narrowest definition of the money supply; consists of moneys that can be spent immediately and against which checks can be written; includes all the paper bills and coins in circulation including currency, travelers checks, and checkable deposits.3. M2: broader definition of the money supply; includes all of M1, plus such near moneys as money market mutual fund balances and Eurodollars; includes all paper bills and coins in circulation.Chapter 16Section 11. The Fed: Federal Reserve System created by Congress in 1913 as the nationR...
