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. The practice of investing a fixed amount into the same investment at regular intervals - regardless of what the stock market is doing.






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






3. Investors who take to take chances






4. The profit from an investment.






5. Debt obligations of state or local governments






6. A fee charged to a borrower (especially for a mortgage loan) to cover the costs of initiating the loan.






7. The place where stocks are bought and sold.






8. Standard and Poor's and Moody's






9. Contacts to buy and sell commodities or stocks for a specific price on a specific date






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






11. Collection of investments






12. Collection of investments






13. The difference between a higher selling price and a lower purchase price - resulting in a financial gain for the seller






14. Property consisting of houses and land






15. A bad side effect of free downloads that may be used to send you pop-up ads - redirect your computer to unwanted Web sites - monitor your Internet surfing - or record your keystrokes in an effort to steal your identity.






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






17. Coins & art & memorabilia or other items that are popular from time to time






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






19. Investors who take to take chances






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






21. An account you have at a financial institution that helps you accumulate and save money and earn a small amount of interest at the same time.






22. A chosen pursuit - profession - or occupation






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






24. An amount of money that is loaned on trust with the expectation that it will be repaid at a later date.






25. The date on which the borrowed money must be repaid






26. The profit from an investment.






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






28. The probability that injury - damage - or loss will occur.






29. Property consisting of houses and land






30. Maximum amount of credit a lender will extend to a customer.






31. Reducing investment risk by putting money in several different types of investments.






32. Debt obligations of corporations






33. A mathematical method that can be used to show how long it will take to double your money in an investment simply by dividing 72 by the rate of interest.






34. The amount a corporation borrowed in a bond situation






35. Earning interest on interest.






36. A chosen pursuit - profession - or occupation






37. Debt obligations of state or local governments






38. Maximum amount of credit a lender will extend to a customer.






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






40. A term that describes investments on which earnings are not taxed until retirement






41. Companies that provide extensive financial data to clients






42. Newspapers list of securities






43. A bank account against which the depositor can draw checks payable on demand.






44. Bold and high-risk investments






45. A government sector that requires all public corporations to make annual reports available to their stockholders






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






47. An account you have at a financial institution that helps you accumulate and save money and earn a small amount of interest at the same time.






48. A bank account against which the depositor can draw checks payable on demand.






49. A payroll deduction collected by employers by law and sent to the federal government to provide a small income and other services to the elderly - disabled Americans - and orphaned minors.






50. Coins & art & memorabilia or other items that are popular from time to time