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 summary of a person's borrowing and repayment history.






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






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






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






5. The profit from an investment.






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






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






8. 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.






9. Property consisting of houses and land






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






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






12. Collection of investments






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






14. Debt obligations of corporations






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






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






17. Bold and high-risk investments






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






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






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






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






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






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






24. Expenses that are not fixed.






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






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. Debt obligations of state or local governments






28. Companies that provide extensive financial data to clients






29. Associated with owning stock of similar groups of businesses






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






31. The credit union term for a checking account.






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






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






34. 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.






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






36. Companies that provide extensive financial data to clients






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






38. The amount a corporation borrowed in a bond situation






39. A general and progressive increase in prices






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






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






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






43. Wall Street Journal and Barron's






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






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






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






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






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






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






50. Associated with owning stock of only one company