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 process of dealing with the chance of a potential personal or financial loss.






2. Property consisting of houses and land






3. The place where stocks are bought and sold.






4. The chance that inflation will rise faster than the rate of return on an investment






5. Another term for budget






6. A unit of ownership in a corporation






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






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






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






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






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






12. The entire amount of money you owe to lenders






13. Investors who take to take chances






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






15. Investment choices that will be held for long periods






16. Pooling of money from many investors to buy a large & diverse selection of securities






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






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






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






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






21. Another term for budget






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






23. The credit union term for a checking account.






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






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






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






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






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






29. 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.






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






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






32. Bold and high-risk investments






33. Investment choices that will be re-evaluated within a year or less






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






35. Companies that provide extensive financial data to clients






36. Associated with owning stock of similar groups of businesses






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






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






39. Debt obligations of state or local governments






40. Summary of a corporation's financial condition






41. Investment choices that will be held for long periods






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






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






44. Business Weekly & Forbes & Money






45. Brokers who provide clients with analysis and opinions






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






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






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






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






50. Earning interest on interest.