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. The date on which the borrowed money must be repaid






2. Things that add comfort and pleasure to your life but you can live without if you need to.






3. Charles Schwab & TD Ameritrade & E*TRADE






4. The belief - qualities - or standards that you consider important or desirable.






5. 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.






6. Property consisting of houses and land






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






8. Expenses that are not fixed.






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






10. Brokers who provided little or no information to clients






11. Business Weekly & Forbes & Money






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






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






14. Investment choices that will be held for long periods






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






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






17. The credit union term for a savings account.






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






19. The belief - qualities - or standards that you consider important or desirable.






20. US treasury security that matures from a few days to one year






21. A formal contract to repay borrowed money with interest at fixed intervals






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






23. The difference between a lower selling price and a higher purchase price resulting in a financial loss for the seller






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






25. Things that add comfort and pleasure to your life but you can live without if you need to.






26. A chosen pursuit - profession - or occupation






27. The profit from an investment.






28. Bold and high-risk investments






29. Regular and planned investments






30. A summary of a person's borrowing and repayment history.






31. Wall Street Journal and Barron's






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






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






34. 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.






35. Another term for budget






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






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






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






39. Earning interest on interest.






40. A formal contract to repay borrowed money with interest at fixed intervals






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






42. Regular and planned investments






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






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






45. 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.






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






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






48. 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.






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






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