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22 Cards in this Set
- Front
- Back
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A blanket deduction that depends on the taxpayer's filing status, age, and vision and can be taken by a taxpayer whose total itemized deduction are too small. |
STANDARD DEDUCTION |
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Personal expenditures that can be deducted from gross income AGI when determining taxable income |
ITEMIZED DEDUCTION |
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A price specified in a lease at which the lessee can buy the car at the end of the lease term |
PURCHASE OPTION |
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The financing rate on a lease similar to the interest rate on a loan |
MONEY FACTOR |
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Deduction from adjusted gross income AGI based on the number of persons supported by the taxpayers income |
EXEMPTION |
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The price of a car that is being leased |
CAPITALIZED COST |
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- deductions from a taxpayer's tax liability that directly reduce his or her taxes due rather than taxable income. |
Tax credits |
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- the remaining value of a leased car at the end of the lease term. |
Residual value |
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- a tax return filed to adjust for information received after the filing date of the taxpayer's original return or to correct errors. |
Amended return |
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- the loss in the value of an asset such as an automobile that occurs over its period of ownership, calculated as the difference between the price initially paid and the subsequent sale price. |
Depreciation |
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- an examination by the IRS to validate the accuracy of a given tax return. |
Tax audit |
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- interest that is paid only on the initial amount of the deposit. |
Simple interest |
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- income that is not subject to taxes immediately but that will later be subject to taxes. |
Tax deferred |
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- when interest earned in each subsequent period is determined by applying the nominal rate of interest to the sum of the initial deposit and the interest earned in each prior period. |
Compound interest |
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- the routine, day to day administration of cash and near cash resources, also known as liquid assets, by an indivudual or family. |
Cash management |
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- an order made by an account holder instructing the depository institution to refuse payment on an already issued check. |
Stop payment |
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- a type of insurance that protects funds on deposit against failure of the institution, can be insured by the FDIC and the NCUA. |
Deposit insurance |
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- The result of writing a check for the amount greater than the current account balance. |
Overdraft |
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- a booklet, provided with a supply of checks, used to maintain accurate records of all checking account transactions. |
Checkbook ledger |
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- a savings deposit at a financial institution, remains on deposit for a longer time than a demand deposit. |
Time deposit |
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- specially coded plastic cards used to transfer funds from a customer's bank account to the recipient's account to pay for goods or services. |
Debit cards |
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- an online commercial bank. |
Internet bank |
