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In your opinion, what is the difference between a bond and a note? In bond, the terms of trade are fixed and agreed upon by the parties involved in the transaction. In a note, they are not fixed or agreed upon. For example, if you buy a car for $10,000 on credit with your bank’s auto loan program it would be considered a note because they you have to pay back that amount plus interest. If you bought that same car using cash up front it would be considered bonds because there is no obligation for them to give you back any money at all once your term expires. 1.What is the difference between debt and equity? 2.How is debt different from equity? 3.What are some important differences in the process of investing when you invest in stocks, bonds or mutual funds? 4.How is debt different from interest? 5. What are some uses for debt? 6. How does debt create an incentive to keep up with the Joneses, in this case by people buying things they don’t really need in order to show off their wealth so that others will envy them and want their things? 7. What kind of people do not benefit or even lose out when someone becomes too irate with debt, bankruptcy filings, foreclosures, etc.? 8. How do the laws of economics help us to understand this? 9. What is deflation? 10. Why is deflation dangerous to the economy? 11. How does it work? 12. What is money? 13. What are some disadvantages of debt 1.What is the difference between debt and equity? You might hear this mentioned in reference to corporations, but you should be able to go ahead and understand this without my explanation: Debt and Equity are both different using different debts and different equity after which you can compare them and see what’s best for yourself in your situation. 2. How is debt different from equity? Debt is owed to a specific individual or group that come into the picture when you take out a loan. For example, if I have $10,000 in my checking account, after taxes I have $9,100 left. If I want to buy something with the rest of my money, I’ll use my debit card so that they can deduct the money come tax time. If it was not for debit cards the government would not be able to keep track of me. 3. What are some important differences in the process of investing when you invest in stocks, bonds or mutual funds? When you invested in stocks and bonds or Mutual Funds, you're investing for the long run. 4.How is debt different from interest? You can interpret this two ways: 1) Debt is how much money that someone owes and interest is the amount of money they have to pay back per month or year. 2) Debt is what you owe and interest is how much do you owe per month or year. I think they mean the second one because if it were the first one, why would we say we owe money and not we work with money (interest). 5. cfa1e77820
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