Test your basic knowledge |

Wealth Management

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 percentage of a sum of money charged for its use






2. The interest rate that a bond issuer will pay to a bondholder






3. Funds that are often times traded through a stock exchange (NYSE)






4. Shares of ownership in a company






5. Loan where the lender goes through the borrower






6. An obligation to pay money to another party






7. The apparent worth as opposed to the real worth






8. Financial organization that pools people's money and invests it






9. A general and progressive increase in prices






10. Anything that is used to produce goods or services






11. The excess of revenues over outlays in a given period of time (including depreciation and other non-cash expenses) The income that is received






12. A loan made on the signature and credit of the borrower - not secured by collateral. Credit card. (Debenture)






13. A delay in enforcing rights or claims or privileges






14. A person appointed by a testator to carry out the terms of the will






15. A loan where the payment is acheived through interest






16. The act of taking out money or other capital






17. Limited quantities of resources to meet unlimited wants






18. Increase of an amount of money as a result of interest or dividends earned - directly corresponds with inflation






19. Simplified IRS tax form which some individuals can file instead of the 1040 form.






20. An estimation of the value of a business that is obtained by multiplying the number of shares outstanding by the current price of a share






21. Place to create a savings account.






22. An accounting entry acknowledging income or capital items






23. Total assets minus total liabilities






24. Income before taxes






25. Whatever must be given up to obtain some item






26. A legal process intended to insure equality among the creditors of a corporation declared in bankruptcy






27. Beliefs of a person or social group in which they have an emotional investment (either for or against something)






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






29. The value of a security that is set by the company issuing it






30. Funds that pay part of their distributions out of principal cannibalize their assets. This depletes the fund's asset base. Funds cannibalize assets to maintain a dividend and keep shareholders happy. However - like feeding a cow its own milk - this p






31. The act of committing money or capital to an endeavor (a business - project - real estate - etc.) with the expectation of obtaining an additional income or profit.






32. This stands for annual percentage rate - which is a number calculated by taking into account the total cost of the loan - including what the borrower will pay in interest; this makes it easier to compare different loan offers






33. The extent to which something is covered






34. The time interval between the deposit of a check in a bank and its payment






35. The date on which a financial obligation must be repaid






36. Savings account that pays market rate or better interest and allows access to funds without penalty.






37. The process of making a decision - usually complex






38. Short-term and Long-term objectives that are driven by values.






39. An estimation of the value of a business that is obtained by multiplying the number of shares outstanding by the current price of a share






40. A general and progressive increase in prices






41. Financial organization that pools people's money and invests it






42. A trust taking effect during the lifetime of a trustor. Also called an inter vivos trust.






43. Maintain by writing regular records






44. An institution that issues something (securities or publications or currency etc.)






45. Limited quantities of resources to meet unlimited wants






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






47. Act of combinging all debts into one monthly payment - typically extending the terms and the length of time required to repay the debt






48. A legal document declaring a person's wishes regarding the disposal of their property when they die






49. Items which the IRS allows to be subtracted from your gross taxable income in order to determine your taxable income.






50. The act of proving that an instrument purporting to be a will was signed and executed in accord with legal requirements