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 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.






2. A tax-deferred investment and savings plan that acts as a personal pension fund for employees






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. The act of lending money at an exorbitant rate of interest






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






6. Grant use or occupation of under a term of contract






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






8. Receiving money for loaning money






9. A record of checks written and deposits made in a checking account - kept by the depositor






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






11. A business activity that changes assets - liabilities - or owner's equity






12. A yearly statement of the financial condition - progress - and expectations of an organization






13. 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






14. Stock other than preferred stock






15. A payment given as a guarantee that an obligation will be met






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






17. Short for Federal Insurance Contributions Act - the name given on the paycheck stub for Social Security and Medicare taxes. The employee pays some of the FICA tax - and and the employer pays some of this tax for each employee. Social Security pays be






18. Preparing a plan for transferring property during one's lifetime and at one's death






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






20. A loan where the payment is acheived through interest






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






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






23. The act of taking out money or other capital






24. Something that is made open or revealed






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






26. A periodic statement prepared by a bank for each client






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






28. 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






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






30. The amount of money you would need to deposit now in order to attain a desired amount in the future






31. The right to take another's property if an obligation is not discharged






32. The percentage of a sum of money charged for its use






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






34. An accounting entry acknowledging income or capital items






35. The act of lending money at an exorbitant rate of interest






36. A guarantee of accrued benefits to participants at retirement age - regardless of their employment status at that time






37. A general and progressive increase in prices






38. All costs or bills related to the business






39. A tax-deferred investment and savings plan that acts as a personal pension fund for employees






40. Protection against future loss






41. The economical needs of an individual






42. Something of value; a resource; an advantage






43. Making money for owning something






44. An act of economizing






45. Any of a number of fraudulent - deceptive - discriminatory - or unfavorable lending practices. Many of these practices are illegal - while others are legal but not in the best interest of the borrowers.






46. Institution that functions much like a business - but does not operate for the purpose of generating profits






47. Your periodic credit card bill - which describes and summarizes all the outstanding balances - purchases - payments - credits - finance charges and other transactions for the month






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






49. 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.






50. The period covered by a salary payment