1. English for Finance 5/3/2011

2. Midterm Results Average is 82.56%

3. Midterm Results

4. Assignments Group 1: Write your own unique definition for each word. Group 2: Create a sentence for each word Group 3: Write the definition of each word with an asterisk 5 times Due at the start of class on Friday… There will be a quiz on Friday

5. Future Quizes Group 1: Write your own definition for the quiz Group 2: Same as before Group 3: Same as before for the asterisked words, any others do not count as wrong, but can give you extra credit

6. Trade and Finance *Imports: To bring goods or materials to one country from another country *Exports: To send goods or materials to one country from another country Trade Surplus: When a country’s exports are higher than their imports Trade Deficit: When a country’s imports are higher than their exports

7. Trade and Finance Dumping: The act of pricing a good below cost or below competitor’s prices in order to get rid of surplus inventory or to gain market share on a competitor Anti-Dumping Duty: A penalty imposed on suspiciously low-price imports, to increase their price in the importing country and so protect the local industry from unfair competition *Credit Limit: The total amount you can borrow against a line of credit

8. Trade and Finance Overdraft Fee: A fine charged by the bank when you take more money out of your account than you have available: *Balance: What you currently own on a loan. *Deposit: To add money into your bank account *Withdrawal: To take money out of your bank account

9. Trade and Finance Overdraft Protection: A temporary loan given to you by the bank in the event that you take more money out of your account than you have available Credit Facility: A type of loan given to a business by a bank. *Savings Accounts: An account for consumers at a bank. Consumers can withdraw money at any time and the account pays interest. It is not a checkable account.

10. Trade and Finance *Checking Account: An account at the bank that consumers use to pay their bills. It may pay some interest or no interest. You write checks to withdraw money or you can use ACH debits or a Check Card. *Credit Cards: A plastic card that has a credit limit associated with it that you can use to make purchases on credit. You are charged an interest rate. It is considered an open-end credit account. Line of Credit: A type of credit facility. A line of credit may be given to either a consumer or a business. Similar to a credit card in nature, but it is easier to withdraw cash from a line of credit, and the interest rate is usually lower than a credit card. *Late Fee: The fine imposed by the bank if you pay your loan after the due date.

11. Trade and Finance Yankee Bond: A bond denominated in US Dollars that is publicly issued in the US by foreign banks and corporations. They are often issued in tranches and can have a principal amount of $1 billion or more. Samurai Bond: A yen-denominated bond issued in Tokyo by a non-Japanese company and subject to Japanese restrictions Asian Development Bank: Founded in 1966, it’s headquarters are in Manila, Philippines. The asian countries are considered member countries and donate money to the bank. Their primary goal is to eliminate poverty in Asia. They do so by making investments in infrastructure, education, and financial markets. They are heavily involved in the foreign bond markets.

12. Trade and Finance Annual Percentage Rate (APR): The actual annual cost of a loan expressed as a percentage. *Interest Rate: This is different than the APR, as the APR may also include fees and the APR considers the effect of compounded interest. Financial Obligation: The amount of money you owe. The balance of your outstanding debt.

13. Trade and Finance Indebtedness: The amount of money you owe. Similar to financial obligation. *Asset: Anything that has value and can be sold for money. *Liability: Something that you owe to someone else or another company or entity. *Equity: Assets – Liabilities = Equity in corporations. It is the amount of money that is left over if it sold all of its assets, used the money to pay off its liabilities.

14. Trade and Finance Loan Shark: One who lends money to someone else at exorbitant rates of interest Delinquent: To be behind on your loan payments. Write-Off: When a bank assumes that it will be impossible to collect on a loan, they “write- off” the balance. It means they zero out the asset amount and record an expense for that amount.

15. Trade and Finance Bankruptcy: An individual or a consumer can file for bankruptcy when their liabilities exceed their assets. *Refinance: To replace your current loan with a new loan. Debt Burden: The amount of money you owe. A bank may calculate your Debt-To-Income (DTI) to see what % of your income you pay servicing your loans

16. Write Down the Definition Next, write down the definition of the following words and hand it in after class

17. Trade and Finance *Imports: *Exports: Trade Surplus: Trade Deficit:

18. Trade and Finance Dumping: Anti-Dumping Duty *Credit Limit:

19. Trade and Finance Overdraft Fee: *Balance: *Deposit: *Withdrawal:

20. Trade and Finance Overdraft Protection: Credit Facility: *Savings Accounts

21. Trade and Finance *Checking Account: *Credit Cards: Line of Credit: *Late Fee:

22. Trade and Finance Yankee Bond: Samurai Bond: Asian Development Bank:

23. Trade and Finance Annual Percentage Rate (APR): *Interest Rate: Financial Obligation:

24. Trade and Finance Indebtedness: *Asset: *Liability: *Equity:

25. Trade and Finance Loan Shark: Delinquent: Write-Off:

26. Trade and Finance Bankruptcy: *Refinance: Debt Burden: