Test your basic knowledge |

Financial Literacy Basics

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. People trained to give investment advise based on your goals & age & lifestyle & etc






2. Investment choices that will be held for long periods






3. Is a numerical rating - based on credit report information that represents a person's level of creditworthiness






4. Investment choices that will be re-evaluated within a year or less






5. Movement of money you receive and the money you spend






6. Property consisting of houses and land






7. Property consisting of houses and land






8. Associated with owning stock of similar groups of businesses






9. The value of What is given up when you choose one option over another.






10. The belief - qualities - or standards that you consider important or desirable.






11. The chance that inflation will rise faster than the rate of return on an investment






12. Low-priced stocks of small companies that have no track record






13. A unit of ownership in a corporation






14. Newspapers list of securities






15. The amount of a loss you must pay out of your own pocket before the insurance company will step in and pay the rest.






16. The amount of a loss you must pay out of your own pocket before the insurance company will step in and pay the rest.






17. US treasury security that matures from a few days to one year






18. An amount that credit card companies can charge for the use of a credit card.






19. A card that is used to deduct a purchase amount directly from your checking account instead of drawing on a line of credit; also called 'check card.'






20. Bold and high-risk investments






21. 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.






22. US treasury security that matures in 2 & 5 & or 10 years






23. A general and progressive increase in prices






24. The right & not the obligation & to buy or sell commodities or stocks for a specific price on a specific date






25. A for-profit company that is owned by its stockholders and provides savings and checking accounts and other financial services to its customers.






26. The willingness to give up something you want now in return for something better in the future.






27. The idea that money today is worth more than the same amount of money in the future due to its potential earning capacity.






28. Discount bonds; a bond purchased for less than the maturity value; example you buy a $50 bond for $25






29. Fee on credit card for making charges above your credit limit.






30. Investing with a series of regular payments; usually associated with life insurance companies






31. A bank account against which the depositor can draw checks payable on demand.






32. A certificate documenting the shareholder's ownership in the corporation






33. 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.






34. Companies that provide extensive financial data to clients






35. Low-priced stocks of small companies that have no track record






36. Management of investment alternatives to maximize the growth of your portfolio






37. The total amount of what it costs you to use credit in a given year. It is expressed as a percentage of the amount borrowed.






38. A financial institution owned by its members that provides savings and checking accounts and other services to its membership at low fees.






39. The portion of the profits paid to the shareholders of a company.






40. A summary of a person's borrowing and repayment history.






41. The credit union term for a checking account.






42. Charles Schwab & TD Ameritrade & E*TRADE






43. Brokers who provide clients with analysis and opinions






44. On a credit card - the length of time you have before you start accumulating interest on an unpaid balance.






45. Uncontrollable and unpredictable events that cause an investment to lose value






46. Debt obligations of corporations






47. A form of bankruptcy that allows you to erase most of your debt.






48. The idea that money today is worth more than the same amount of money in the future due to its potential earning capacity.






49. The probability that injury - damage - or loss will occur.






50. The increase or decrease in the original purchase price of an investment over a period of time.