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. Arrangement for deferred payment for goods and services






2. A loan in which the rate can be altered to adjust to economical need






3. 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.






4. A debt; something disadvantageous






5. A loan that is paid off in a fixed rate over a period of time






6. Income before taxes






7. The apparent worth as opposed to the real worth






8. Someone who lends money at excessive rates of interest






9. An evaluation by a rating company of the probability that a particular bond issue will default






10. The amount of tax owed






11. The amount of tax owed






12. The legal proceedings initiated by a creditor to repossess the collateral for loan that is in default






13. The rights of an individual to own - use - rent - invest in - buy - and sell property.






14. Stock whose holders are guaranteed priority in the payment of dividends but whose holders have no voting rights






15. Cash payments made by the government to people who do not supply goods - services - or labor in exchange for these payments. They include Social Security benefits - veterans' benefits - and welfare payments.






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






17. Loan with equal number of payments of the same amount over a fixed period of time.






18. Immunity from a general burden - tax or charge; in bankruptcy or judgment executions - that portion of the debtor's property that cannot be liquidiated and applied to her debts






19. 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






20. Someone who has insufficient assets to cover their debts






21. An obligation to pay money to another party






22. Compute credits and debits of an account






23. A record of the financial situation of an institution on a particular date by listing its assets and the claims against those assets






24. A debt; something disadvantageous






25. A deduction allowed to a taxpayer because of his status (having certain dependents or being blind or being over 65 etc.)






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






27. The shares available to sell/buy






28. A mutual fund that invests in the stocks that are the basis of a well-known stock or bond index






29. Electronic Data Gathering Analysis and Retrieval - the electronic system used by the SEC to enable investors to search electronically for financial reports filed by individual companies






30. A regular payment to a person that iis intended to allow them to subsist without working






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






32. An accounting entry acknowledging income or capital items






33. The legal proceedings initiated by a creditor to repossess the collateral for loan that is in default






34. A bank account that accumulates interest






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






36. Money paid to a worker






37. Certificates that represent money the government has borrowed from private citizens






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






39. The excess of revenues over outlays in a given period of time (including depreciation and other non-cash expenses)






40. Loan where the lender goes through the borrower






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






42. Production of a certain amount






43. The commercial activity of transporting and selling goods from a producer to a consumer






44. The money paid for employee services






45. An accounting entry acknowledging income or capital items






46. Debt backed by a mortgage - pledge of collateral - or other lien; debt for which the creditor has the right to pursue specific pledged property upon default. Examples include home mortgages - auto loans and tax liens.






47. 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






48. Cash payments made by the government to people who do not supply goods - services - or labor in exchange for these payments. They include Social Security benefits - veterans' benefits - and welfare payments.






49. 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






50. A bank account that accumulates interest