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Advanced Vocabulary for TOEFL - Money and Business

Here you will learn some English words about money and business, such as "soar", "overdue", "quotation", etc. that are needed for the TOEFL exam.

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Advanced Words Needed for TOEFL

to diminish in value, especially over time

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to vary or waver between two or more states or amounts

Ex: The economy is unstable , causing stock prices to fluctuate wildly .
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to decline in amount or value in a sudden and rapid way

Ex: Political instability in the region caused tourism to plummet, affecting the hospitality industry .
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to soar
[Verb]

to increase rapidly to a high level

Ex: The demand for electric cars is expected to soar in the coming years as more people seek environmentally-friendly transportation options .
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convertible
[Adjective]

able to be changed from one form of currency, investment, or security into another

Ex: The convertible mortgage allows borrowers to switch between fixed and adjustable interest rates .
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deregulatory
[Adjective]

relating to the removal or reduction of governmental power or regulations from an industry, commodity, etc.

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extravagant
[Adjective]

costing a lot of money, more than the necessary or affordable amount

Ex: The CEO 's extravagant spending habits raised eyebrows among shareholders and employees alike .
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fiscal
[Adjective]

relating to government revenue or public money, especially taxes

Ex: Fiscal responsibility is essential for maintaining the stability of the economy .
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laissez-faire
[Adjective]

relating to a policy in which private businesses are allowed to thrive without government control

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overdue
[Adjective]

‌not paid, done, etc. within the required or expected timeframe

Ex: The rent payment is overdue, and the landlord has issued a reminder .
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alimony
[noun]

the money that is demanded by the court to be paid to an ex-spouse or ex-partner

Ex: The judge considered various factors in determining the amount of alimony to be paid .
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arrears
[noun]

an unpaid debt that is past due

Ex: Sarah finally cleared her tax arrears by entering into a payment plan with the IRS , relieving her of a considerable financial burden .
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a loan guarantee that may be taken away if the loan is not repaid

Ex: The entrepreneur pledged his stock portfolio as collateral to secure the business loan needed to expand his company .
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incentive
[noun]

a payment or concession to encourage someone to do something specific

Ex: The government introduced subsidies as an incentive for farmers to adopt sustainable agricultural practices .
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audit
[noun]

a formal inspection of a business's financial records to see if they are correct and accurate or not

Ex: The IRS conducted a tax audit to verify the accuracy of the individual 's tax returns .
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bailout
[noun]

an act of giving money to a foreign country, a failing company, or an organization on the verge of collapse to ensure their safety from bankruptcy

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the state or condition of not having enough money to pay one's debts

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quotation
[noun]

a statement indicating the cost of a specific service or piece of work

Ex: Before signing the contract , they reviewed the quotation to ensure it aligned with their budget and expectations .
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crunch
[noun]

a challenging situation caused by a shortage, such as time, money, or resources, that requires immediate attention or action

Ex: The team hit a resource crunch when supplies did n't arrive on time .
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deflation
[noun]

(economics) a decrease in the amount of money in an economy, resulting in falling or unchanged prices

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dividend
[noun]

an amount of money paid regularly to the shareholders of a company

Ex: The board decided to increase the dividend this year .
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leverage
[noun]

(finance) the value of a company's shares in relation to its debts

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ransom
[noun]

an amount of money demanded or paid for the release of a person who is in captivity

Ex: Hostage negotiations are delicate processes aimed at securing the safe release of captives without paying ransom.
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subsidy
[noun]

an amount of money that a government or organization pays to lower the costs of producing goods or providing services so that prices do not increase

Ex: The arts organization relies on government subsidies to fund its cultural programs and events .
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tariff
[noun]

a tax paid on goods imported or exported

Ex: Businesses are concerned about potential tariff increases that could impact their supply chain costs .
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usury
[noun]

the act of loaning money to others and demanding a very high interest rate

Ex: Traditional moneylenders in rural areas often engage in usury, taking advantage of people 's lack of knowledge .
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liquidity
[noun]

financial assets in the form of money or able to be easily converted into money

Ex: The central bank provided liquidity to the financial markets .
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the theory or policy of controlling the amount of money in circulation as the preferred method of stabilizing the economy

Ex: Supporters of monetarism believe that a stable money supply ensures economic stability .
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an economic situation with persistent high inflation and a high unemployment rate

Ex: Policymakers were puzzled by the stagflation, as both inflation and unemployment rose .
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clientele
[noun]

all the customers collectively

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a corporation formed by merging different firms or businesses

Ex: Shareholders expressed concerns about the conglomerate's complex corporate structure and urged management to streamline operations for better efficiency .
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a business company controlled or owned by a holding or parent company

Ex: The retail chain has subsidiaries in different countries .
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an advertising television program that tries to promote a product by giving a lot of information about it in a supposedly objective manner

Ex: The fitness guru starred in an infomercial, explaining the benefits of their workout program and offering a special discount to viewers who order within the next 30 minutes .
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the act of reducing or limiting something in order to reach financial stability

Ex: Curtailment of capital expenditures was necessary to preserve cash flow during the financial downturn.
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the process of having someone outside of a company provide goods or services for that company

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broker
[noun]

a person whose job is to sell and buy assets and goods for other people

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a person who lends money to people, typically under illegal conditions, at a very high rate of interest

Ex: We heard stories of people who had borrowed from loan sharks and suffered dire consequences as a result .
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tycoon
[noun]

a rich and powerful person who is successful in business or industry

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magnate
[noun]

a wealthy, influential, and successful businessperson

Ex: Real estate magnate Donald Trump leveraged his family 's business into a globally recognized brand throughout hotels , casinos and television .
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dog eat dog
[phrase]

(in business, politics, etc.) a situation in which the competition is so fierce that everyone is willing to do whatever it takes to be successful, even if it means harming others

Ex: The competition for the job is fierce , and it 's dog eat dog situation .
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Advanced Vocabulary for TOEFL
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