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. Brokers who provided little or no information to clients






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






3. Another term for budget






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






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






6. Brokers who provide clients with analysis and opinions






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






8. Expenses that are not fixed.






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






10. Summary of a corporation's financial condition






11. 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.






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






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






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






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






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






17. The process of dealing with the chance of a potential personal or financial loss.






18. The credit union term for a savings account.






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






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






21. The profit from an investment.






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






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






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






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






26. Property consisting of houses and land






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






28. A unit of ownership in a corporation






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






30. Merrill Lynch & Fidelity Investments & American Express






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






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






33. The entire amount of money you owe to lenders






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






35. 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.'






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






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






38. 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.






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






40. 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.






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






42. 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.






43. The entire amount of money you owe to lenders






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






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






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






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






48. A chosen pursuit - profession - or occupation






49. A chosen pursuit - profession - or occupation






50. A unit of ownership in a corporation