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. Uncontrollable and unpredictable events that cause an investment to lose value






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






3. An electronic machine that bank customers and credit union members can use to withdraw cash and make other financial transactions.






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






5. Business Weekly & Forbes & Money






6. Pooling of money from many investors to buy a large & diverse selection of securities






7. The entire amount of money you owe to lenders






8. Low-priced stocks of small companies that have no track record






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






10. Investment choices that will be held for long periods






11. Companies that provide extensive financial data to clients






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






13. A card that is used to deduct a purchase amount directly from your checking account instead of drawing on a line of credit; also called 'check card.'






14. Property consisting of houses and land






15. Things that add comfort and pleasure to your life but you can live without if you need to.






16. An investment security that is actually a diversified portfolio of equities - bonds or other securities. Investors purchase shares and can sell them at any time.






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






18. Wall Street Journal and Barron's






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






20. Another term for budget






21. Standard and Poor's and Moody's






22. The credit union term for a checking account.






23. Investors who take to take chances






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






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






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






27. Expenses that are not fixed.






28. A formal contract to repay borrowed money with interest at fixed intervals






29. A payroll deduction collected by employers by law and sent to the state government to support state services.






30. Debt obligations of state or local governments






31. Bonds designed for investors wanting to protect again inflation losses






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






33. The difference between a lower selling price and a higher purchase price resulting in a financial loss for the seller






34. The right & not the obligation & to buy or sell commodities or stocks for a specific price on a specific date






35. Associated with owning stock of only one company






36. Regular and planned investments






37. A for-profit company that is owned by its stockholders and provides savings and checking accounts and other financial services to its customers.






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






39. The place where stocks are bought and sold.






40. Amount of money that is set aside for future purchases






41. A technique to gain personal information for the purpose of identity theft - usually by means of fraudulent e-mail or pop-up messages.






42. Associated with owning stock of similar groups of businesses






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






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






45. Smaller decisions that can result from a major decision.






46. Debt obligations of corporations






47. The maximum amount an insurance company will pay if you file a claim.






48. Regular and planned investments






49. Standard and Poor's and Moody's






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