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






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






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






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






5. Brokers who provide clients with analysis and opinions






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






7. The setting aside of money for future use or other investments






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






9. The difference between a lower selling price and a higher purchase price resulting in a financial loss for the seller






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






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






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






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






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






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






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






17. The practice of investing a fixed amount into the same investment at regular intervals - regardless of what the stock market is doing.






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






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






20. The credit union term for a savings account.






21. A unit of ownership in a corporation






22. Associated with owning stock of similar groups of businesses






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






24. Losses in an investment as a result of the business cycle






25. Debt obligations of state or local governments






26. Debt obligations of state or local governments






27. Property consisting of houses and land






28. Debt obligations of corporations






29. 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.






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






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






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






33. The amount a corporation borrowed in a bond situation






34. Bonds designed for investors wanting to protect again inflation losses






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






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






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






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






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






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






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






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






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






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






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






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






47. Collection of investments






48. A chosen pursuit - profession - or occupation






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






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