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Test your basic knowledge |
Financial Literacy Basics
Start Test
Study First
Subjects
:
literacy
,
personal-finance
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. The place where stocks are bought and sold.
Series EE Savings Bond
maturity date
stock market
debt
2. The unique passcode number you use to get access to your savings and/or checking account
diversification
Personal Identification Number - PIN
discount brokers
annuities
3. The credit union term for a savings account.
variable expenses
well-known discount brokers
share account
options
4. Management of investment alternatives to maximize the growth of your portfolio
strategic investing
debit card
periodic or occasional expenses
chapter 13
5. Property consisting of houses and land
interest-rate risk
savings account
real estate
credit history
6. Newspapers list of securities
industry risk
financial pages
Temporary investment
budget
7. A general and progressive increase in prices
delayed gratification
capital loss
Personal Identification Number - PIN
inflation
8. A general and progressive increase in prices
stocks
inflation
speculative investments
chapter 7
9. A detailed record of your personal credit and financial transactions.
credit report
well-know financial magazines
share draft account
time value of money
10. 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.
mutual fund
annual report
options
risk averse
11. Fee on credit card for making charges above your credit limit.
over-the-limit fee
inflation
share draft account
risk management
12. Business Weekly & Forbes & Money
well-know financial magazines
periodic or occasional expenses
savings account
discount brokers
13. Conservative investing; used when you have 'excess' savings
pay yourself first - P.Y.F.
initial investing
capital loss
chapter 7
14. The chance that inflation will rise faster than the rate of return on an investment
municipal bonds
ATM - Automatic Teller Machine
social security tax
interest-rate risk
15. Uncontrollable and unpredictable events that cause an investment to lose value
full-service broker
non-market risk
stock market
options
16. The idea that money today is worth more than the same amount of money in the future due to its potential earning capacity.
well-know financial magazines
share draft account
yield
time value of money
17. Money used for short-term needs like emergencies; advisers recommend three to six months' net pay for set aside for this
chapter 7
put-and-take account
financial advisers
cash flow
18. People trained to give investment advise based on your goals & age & lifestyle & etc
budget
dollar cost average
diversification
financial advisers
19. The entire amount of money you owe to lenders
satellite decisions
debt
investing risk
permanent investment
20. 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.
savings account
capital loss
systematic investing
industry risk
21. The setting aside of money for future use or other investments
put-and-take account
permanent investment
pay yourself first - P.Y.F.
variable expenses
22. Expenses that aren't paid every month and can be either fixed or variable.
financial pages
chapter 13
periodic or occasional expenses
discount brokers
23. Expenses that are not fixed.
grace period
annual report
annuities
variable expenses
24. A term that describes investments on which earnings are not taxed until retirement
tax deferred
risk
Rule of 72
financial pages
25. The maximum amount an insurance company will pay if you file a claim.
maturity date
capital gain
non-market risk
coverage limit
26. The practice of investing a fixed amount into the same investment at regular intervals - regardless of what the stock market is doing.
industry risk
credit limit
dollar cost average
credit
27. Earning interest on interest.
Investing
compounding interest rate
well-know full-service brokers
risk
28. Spreading risk among many types of investments; one way to minimize risk
Series I Savings Bond
coverage limit
full-service broker
diversification
29. Investors who are afraid to make investments
risk averse
strategic investing
wants
short term goal
30. The chance that an investment's value will decrease
ATM - Automatic Teller Machine
maturity date
investing risk
interest-rate risk
31. Summary of a corporation's financial condition
inflation
debit card
corporate bonds
annual report
32. Coins & art & memorabilia or other items that are popular from time to time
Rule of 72
collectibles
grace period
credit history
33. The amount a corporation borrowed in a bond situation
company risk
well-known financial newspapers
principal
mutual fund
34. A legal process to get out of debt when you can no longer make all your required payments.
risk
satellite decisions
bankruptcy
permanent investment
35. Money used for short-term needs like emergencies; advisers recommend three to six months' net pay for set aside for this
investing risk
well-known financial newspapers
put-and-take account
well-known discount brokers
36. Summary of a corporation's financial condition
chapter 13
annual report
investor services
political risk
37. The difference between a lower selling price and a higher purchase price resulting in a financial loss for the seller
capital loss
periodic or occasional expenses
deductible
yield
38. 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.
spending plan
universal default
grace period
put-and-take account
39. The date on which the borrowed money must be repaid
universal default
universal default
maturity date
share draft account
40. The right & not the obligation & to buy or sell commodities or stocks for a specific price on a specific date
time value of money
universal default
Temporary investment
options
41. A bank account against which the depositor can draw checks payable on demand.
debt
US Treasury Notes
checking account
dollar cost average
42. Investors who are afraid to make investments
municipal bonds
stock
company risk
risk averse
43. Companies that provide extensive financial data to clients
options
portfolio
investor services
US Treasury Bills
44. Another term for budget
put-and-take account
spending plan
maturity date
Series I Savings Bond
45. A formal contract to repay borrowed money with interest at fixed intervals
collectibles
bond
opportunity cost
systematic investing
46. The place where stocks are bought and sold.
variable expenses
mutual fund
investing risk
stock market
47. A form of bankruptcy that allows you to erase most of your debt.
chapter 7
Series I Savings Bond
risk
spending plan
48. The difference between a higher selling price and a lower purchase price - resulting in a financial gain for the seller
tax deferred
industry risk
capital gain
risk averse
49. An amount of money that is loaned on trust with the expectation that it will be repaid at a later date.
Rule of 72
dollar cost average
credit
maturity date
50. The amount of money someone is willing to loan you.
Rule of 72
principal
Series I Savings Bond
tax deferred