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 general and progressive increase in prices






2. The place where stocks are bought and sold.






3. Associated with owning stock of only one company






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






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






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






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






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






9. A fee charged to a borrower (especially for a mortgage loan) to cover the costs of initiating the loan.






10. Associated with owning stock of similar groups of businesses






11. The probability that injury - damage - or loss will occur.






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






13. 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.






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






15. Wall Street Journal and Barron's






16. Newspapers list of securities






17. Collection of investments






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






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






20. The probability that injury - damage - or loss will occur.






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






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






23. A payroll deduction collected by employers by law and sent to the federal government to provide a small income and other services to the elderly - disabled Americans - and orphaned minors.






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






25. Companies that provide extensive financial data to clients






26. The place where stocks are bought and sold.






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






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






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






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






31. Collection of investments






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






33. The amount a corporation pays at a fixed amount when repaying a bond






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






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






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






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






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






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






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






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






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






43. US treasury security that matures in 30 years






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






45. A chosen pursuit - profession - or occupation






46. Coins & art & memorabilia or other items that are popular from time to time






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






48. Debt obligations of state or local governments






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






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