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 detailed record of your personal credit and financial transactions.






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






3. Debt obligations of corporations






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






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






6. Newspapers list of securities






7. Wall Street Journal and Barron's






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






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






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






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






12. A mathematical method that can be used to show how long it will take to double your money in an investment simply by dividing 72 by the rate of interest.






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






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






15. The place where stocks are bought and sold.






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






17. 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.






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






19. A chosen pursuit - profession - or occupation






20. Summary of a corporation's financial condition






21. 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.






22. Companies that provide extensive financial data to clients






23. 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.






24. US treasury security that matures in 30 years






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






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






27. Brokers who provide clients with analysis and opinions






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






29. A technique used for estimating the number of years required to double your money at a given rate






30. Investors who take to take chances






31. 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.






32. An account you have at a financial institution that helps you accumulate and save money and earn a small amount of interest at the same time.






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






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






35. A unit of ownership in a corporation






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






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






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






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






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






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






42. 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.






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






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






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






46. Business Weekly & Forbes & Money






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






48. Associated with owning stock of only one company






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






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