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






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






3. Debt obligations of state or local governments






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






5. Business Weekly & Forbes & Money






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






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






8. A for-profit company that is owned by its stockholders and provides savings and checking accounts and other financial services to its customers.






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






10. Collection of investments






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






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






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






14. Investment choices that will be held for long periods






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






16. Newspapers list of securities






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






18. Expenses that are not fixed.






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






20. Expenses that are not fixed.






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






22. Associated with owning stock of similar groups of businesses






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






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






25. A technique used for estimating the number of years required to double your money at a given rate






26. The amount a corporation borrowed in a bond situation






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






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






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






30. Associated with owning stock of similar groups of businesses






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






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






33. Associated with owning stock of only one company






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






35. Another term for budget






36. Wall Street Journal and Barron's






37. Bold and high-risk investments






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






39. An amount of money that is loaned on trust with the expectation that it will be repaid at a later date.






40. Investment choices that will be held for long periods






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






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






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






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






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






46. Investors who take to take chances






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






48. The difference between a higher selling price and a lower purchase price - resulting in a financial gain for the seller






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






50. 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.