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Test your basic knowledge |
Financial Literacy Basics
Start Test
Study First
Subjects
:
literacy
,
personal-finance
Instructions:
Answer 50 questions in 15 minutes.
If you are not ready to take this test, you can
study here
.
Match each statement with the correct term.
Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.
This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. The belief - qualities - or standards that you consider important or desirable.
US Treasury Bills
share draft account
values
well-know full-service brokers
2. Charles Schwab & TD Ameritrade & E*TRADE
well-known discount brokers
stocks
capital loss
origination fee
3. The unique passcode number you use to get access to your savings and/or checking account
ATM - Automatic Teller Machine
annual fee
Personal Identification Number - PIN
principal
4. A bad side effect of free downloads that may be used to send you pop-up ads - redirect your computer to unwanted Web sites - monitor your Internet surfing - or record your keystrokes in an effort to steal your identity.
spyware
corporate bonds
investor services
compounding interest rate
5. A chosen pursuit - profession - or occupation
career
interest-rate risk
debt
phishing
6. Another term for budget
maturity date
spending plan
Investing
speculative investments
7. A fee charged to a borrower (especially for a mortgage loan) to cover the costs of initiating the loan.
origination fee
well-know full-service brokers
state income tax
over-the-limit fee
8. A payroll deduction collected by employers by law and sent to the state government to support state services.
credit history
career
state income tax
capital gain
9. An investment security that is actually a diversified portfolio of equities - bonds or other securities. Investors purchase shares and can sell them at any time.
debt
mutual fund
chapter 7
over-the-limit fee
10. US treasury security that matures in 2 & 5 & or 10 years
US Treasury Notes
credit limit
principal
credit union
11. The chance that an investment's value will decrease
interest-rate risk
wants
investing risk
dividend
12. A payroll deduction collected by employers by law and sent to the federal government to provide a small income and other services to the elderly - disabled Americans - and orphaned minors.
debit card
stocks
spending plan
social security tax
13. Low-priced stocks of small companies that have no track record
chapter 13
penny stocks
inflation
systematic investing
14. Smaller decisions that can result from a major decision.
delayed gratification
satellite decisions
US Treasury Bills
discount brokers
15. The maximum amount an insurance company will pay if you file a claim.
coverage limit
over-the-limit fee
US Treasury Bonds
opportunity cost
16. The chance that an investment's value will decrease
investing risk
Series EE Savings Bond
futures
permanent investment
17. Contacts to buy and sell commodities or stocks for a specific price on a specific date
universal default
grace period
futures
chapter 7
18. Is a numerical rating - based on credit report information that represents a person's level of creditworthiness
debt
savings
capital loss
credit score
19. Standard and Poor's and Moody's
share account
over-the-limit fee
well-known investor services
spending plan
20. The credit union term for a savings account.
share account
spyware
initial investing
municipal bonds
21. The credit union term for a checking account.
tax deferred
share draft account
risk
corporate bonds
22. Uncontrollable and unpredictable events that cause an investment to lose value
non-market risk
strategic investing
credit history
credit score
23. Investment choices that will be re-evaluated within a year or less
principal
Temporary investment
budget
career
24. The date on which the borrowed money must be repaid
maturity date
rate of return
savings account
variable expenses
25. A for-profit company that is owned by its stockholders and provides savings and checking accounts and other financial services to its customers.
cash flow
put-and-take account
state income tax
bank
26. A bank account against which the depositor can draw checks payable on demand.
checking account
Investing
well-known discount brokers
origination fee
27. A certificate documenting the shareholder's ownership in the corporation
spending plan
discount brokers
credit report
stock
28. A goal to be achieved within the next three months.
short term goal
dollar cost average
stock
principal
29. Fee on credit card for making charges above your credit limit.
well-know full-service brokers
over-the-limit fee
APR - Average Percentage Rate
futures
30. People trained to give investment advise based on your goals & age & lifestyle & etc
financial advisers
real estate
annual fee
inflation
31. Investing with a series of regular payments; usually associated with life insurance companies
share draft account
discount brokers
Series I Savings Bond
annuities
32. The portion of the profits paid to the shareholders of a company.
pay yourself first - P.Y.F.
dividend
speculative investments
US Treasury Notes
33. Expenses that are not fixed.
capital loss
variable expenses
stock
options
34. A term that describes investments on which earnings are not taxed until retirement
put-and-take account
tax deferred
principal
annuities
35. Pooling of money from many investors to buy a large & diverse selection of securities
compounding interest rate
mutual funds
pay yourself first - P.Y.F.
US Treasury Notes
36. A technique to gain personal information for the purpose of identity theft - usually by means of fraudulent e-mail or pop-up messages.
state income tax
phishing
bond
non-market risk
37. The practice of investing a fixed amount into the same investment at regular intervals - regardless of what the stock market is doing.
cash flow
phishing
checking account
dollar cost average
38. The use of long-term savings to earn a financial return
Investing
principal
full-service broker
annual report
39. Bold and high-risk investments
US Treasury Bills
principal
origination fee
speculative investments
40. Investment choices that will be re-evaluated within a year or less
career
stock
spending plan
Temporary investment
41. The amount of money someone is willing to loan you.
origination fee
spyware
penny stocks
principal
42. The difference between a higher selling price and a lower purchase price - resulting in a financial gain for the seller
yield
stocks
capital gain
principal
43. A legal process to get out of debt when you can no longer make all your required payments.
municipal bonds
bankruptcy
mutual funds
debit card
44. Investors who are afraid to make investments
principal
time value of money
delayed gratification
risk averse
45. Associated with owning stock of only one company
chapter 7
industry risk
company risk
well-known financial newspapers
46. Investors who take to take chances
risk taker
dollar cost average
real estate
well-know full-service brokers
47. The place where stocks are bought and sold.
options
credit
investor services
stock market
48. The credit union term for a checking account.
share draft account
investing risk
systematic investing
Series EE Savings Bond
49. Maximum amount of credit a lender will extend to a customer.
credit limit
delayed gratification
share draft account
chapter 13
50. Reducing investment risk by putting money in several different types of investments.
financial pages
market risk
diversification
capital gain