A Budget Is a

question 138

Multiple Choice

A budget is a

• A)purchase plan.
• B)line of credit.
• C)financial statement.
• D)detailed financial forecast.
• E)set of personal financial objectives.

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Definitions:

Straight-line Depreciation

A method of calculating the depreciation of an asset evenly over its useful life.

Single Category Average Cost Method

A method for calculating the cost basis of mutual funds, ETFs, or stocks for tax purposes, where all shares are considered to have the same average cost.

Long-term Loss

A loss realized on the sale or exchange of a capital asset held for more than one year.

Gift Tax

A tax on the transfer of assets or money from one person to another without receiving something of equal value in return, in excess of annual and lifetime exemptions.