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. Collection of investments






2. Summary of a corporation's financial condition






3. Business Weekly & Forbes & Money






4. The difference between a higher selling price and a lower purchase price - resulting in a financial gain for the seller






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






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






7. Brokers who provided little or no information to clients






8. 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.






9. The entire amount of money you owe to lenders






10. The date on which the borrowed money must be repaid






11. Conservative investing; used when you have 'excess' savings






12. An electronic machine that bank customers and credit union members can use to withdraw cash and make other financial transactions.






13. Expenses that aren't paid every month and can be either fixed or variable.






14. The credit union term for a checking account.






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






16. A government sector that requires all public corporations to make annual reports available to their stockholders






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






18. A clause included in many credit card company agreements that allows a credit card company to increase your interest rate if you make just one late payment.






19. Conservative investing; used when you have 'excess' savings






20. Smaller decisions that can result from a major decision.






21. 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.






22. Investors who are afraid to make investments






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






24. Associated with owning stock of only one company






25. Standard and Poor's and Moody's






26. Property consisting of houses and land






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






28. 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.






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






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






31. The use of long-term savings to earn a financial return






32. A legal process to get out of debt when you can no longer make all your required payments.






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






34. An amount of money that is loaned on trust with the expectation that it will be repaid at a later date.






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






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






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






38. The use of long-term savings to earn a financial return






39. Business Weekly & Forbes & Money






40. A payroll deduction collected by employers by law and sent to the state government to support state services.






41. Things that add comfort and pleasure to your life but you can live without if you need to.






42. A technique to gain personal information for the purpose of identity theft - usually by means of fraudulent e-mail or pop-up messages.






43. Spreading risk among many types of investments; one way to minimize risk






44. The profit from an investment.






45. Bold and high-risk investments






46. The amount a corporation pays at a fixed amount when repaying a bond






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






48. The amount a corporation borrowed in a bond situation






49. The unique passcode number you use to get access to your savings and/or checking account






50. A detailed record of your personal credit and financial transactions.