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






2. US treasury security that matures in 30 years






3. Brokers who provide clients with analysis and opinions






4. The place where stocks are bought and sold.






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






6. Associated with owning stock of similar groups of businesses






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






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






9. A general and progressive increase in prices






10. Investors who are afraid to make investments






11. A term that describes investments on which earnings are not taxed until retirement






12. An electronic machine that bank customers and credit union members can use to withdraw cash and make other financial transactions.






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






14. Merrill Lynch & Fidelity Investments & American Express






15. An electronic machine that bank customers and credit union members can use to withdraw cash and make other financial transactions.






16. Another term for budget






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






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






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






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






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






22. Contacts to buy and sell commodities or stocks for a specific price on a specific date






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






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






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






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






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






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






29. 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.






30. A chosen pursuit - profession - or occupation






31. Newspapers list of securities






32. Debt obligations of corporations






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






34. Reducing investment risk by putting money in several different types of investments.






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






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






37. A payroll deduction collected by employers by law and sent to the state government to support state services.






38. Reducing investment risk by putting money in several different types of investments.






39. 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.






40. Business Weekly & Forbes & Money






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






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






43. 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.'






44. Standard and Poor's and Moody's






45. Investment choices that will be held for long periods






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






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






48. Summary of a corporation's financial condition






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






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