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. A debt not backed by specific property to satisfy the indebtedness in case of default.






2. A bank account that accumulates interest






3. Is your gross income after certain reductions have been made






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






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






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






7. The act of taking out money or other capital






8. An amount of money given to the borrower for a set period of time. After the set time has passed - the money must be paid back plus the lending fee - called interest. Payments are normally made over a series of months.






9. 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






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






11. Interest calculated on both the principal and the accrued interest






12. A long-term loan extended to someone who buys property






13. Something that is made open or revealed






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






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






16. Making money for owning something






17. An amount of money given to the borrower for a set period of time. After the set time has passed - the money must be paid back plus the lending fee - called interest. Payments are normally made over a series of months.






18. An accounting entry acknowledging income or capital items






19. A document - usually containing financial data - that a company delivers to the SEC and - thereby - to the public.






20. Loan deal in which the actual lender may not be known to the borrower.






21. The process of making a decision - usually complex






22. 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






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






24. The act of taking out money or other capital






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






26. A document - usually containing financial data - that a company delivers to the SEC and - thereby - to the public.






27. Arrangement for deferred payment for goods and services






28. The process of managing one's assets and wealth






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






30. The act of reducing the selling price of merchandise






31. Shares of ownership in a company






32. Having honest intentions






33. Income before taxes






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






35. A fixed charge for borrowing money






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






37. 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






38. Profits paid to investors






39. A delay in enforcing rights or claims or privileges






40. The amount of tax owed






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






42. 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






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






44. Things that incite or spur to action; rewards or reasons for performing a task.






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






46. 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.






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






48. Prompt payment for goods or services in currency or by check






49. An accounting entry acknowledging sums that are owing






50. 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.