| Question | Answer |
| Personal cash flow statement | financial statement that measures a person's cash inflows and cash outflows |
| net cash flows | cash inflows minus cash ouflows |
| budget | A cash flow statement that is based on forecasted cash flows for a future period |
| personal balance sheet | a summary of your assets (what you own), your liabilities (what you owe), and your net worth (assets minus liabilities) |
| liquid assets | financial assets that can be easily sold without a loss in value |
| household assets | items normally owned by a household, such as a home, car and furniture |
| bonds | certificates issued by borrowers to raise funds |
| stocks | certificates representing particial ownership of a firm |
| mutual funds | investment companies that sell shares to individuals and invest the proceeds in investment instruments such as bonds or stocks |
| real estate | rental property and land |
| rental property | housing or commercial property that is rented out to others |
| current liabilities | debt that will be paid within a year |
| long-term liabilities | debt that will be paid over a period longer than one year |