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






2. US treasury security that matures in 30 years






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






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






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






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






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






8. Earning interest on interest.






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






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






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






12. The credit union term for a checking account.






13. Newspapers list of securities






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






15. A form of bankruptcy that allows you to repay many of your debts over a period of time - usually no more than five years.






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






17. Investment choices that will be held for long periods






18. Another term for budget






19. Coins & art & memorabilia or other items that are popular from time to time






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






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






22. Bold and high-risk investments






23. Business Weekly & Forbes & Money






24. A fee charged to a borrower (especially for a mortgage loan) to cover the costs of initiating the loan.






25. A spending plan for managing money during a given period of time.






26. A formal contract to repay borrowed money with interest at fixed intervals






27. A general and progressive increase in prices






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






29. The maximum amount an insurance company will pay if you file a claim.






30. Wall Street Journal and Barron's






31. Maximum amount of credit a lender will extend to a customer.






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






33. 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.'






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






35. Contacts to buy and sell commodities or stocks for a specific price on a specific date






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






37. Pooling of money from many investors to buy a large & diverse selection of securities






38. The amount of money someone is willing to loan you.






39. A goal to be achieved within the next three months.






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






41. Amount of money that is set aside for future purchases






42. Merrill Lynch & Fidelity Investments & American Express






43. A chosen pursuit - profession - or occupation






44. 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.






45. Amount of money that is set aside for future purchases






46. The chance that an investment's value will decrease






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






48. Actions that the government might take that would reduce the value of an investment






49. Brokers who provide clients with analysis and opinions






50. Money used for short-term needs like emergencies; advisers recommend three to six months' net pay for set aside for this