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






2. Investors who take to take chances






3. Associated with owning stock of similar groups of businesses






4. Investment choices that will be held for long periods






5. The unique passcode number you use to get access to your savings and/or checking account






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






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






8. Investment choices that will be re-evaluated within a year or less






9. An amount that credit card companies can charge for the use of a credit card.






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






11. Brokers who provided little or no information to clients






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






13. Fee on credit card for making charges above your credit limit.






14. Bold and high-risk investments






15. Regular and planned investments






16. Expenses that are not fixed.






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






18. Merrill Lynch & Fidelity Investments & American Express






19. Collection of investments






20. US treasury security that matures in 2 & 5 & or 10 years






21. Investors who are afraid to make investments






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






23. Associated with owning stock of only one company






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






25. Debt obligations of state or local governments






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






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






28. US treasury security that matures in 30 years






29. Expenses that aren't paid every month and can be either fixed or variable.






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






31. Associated with owning stock of similar groups of businesses






32. The amount of a loss you must pay out of your own pocket before the insurance company will step in and pay the rest.






33. Earning interest on interest.






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






35. The process of dealing with the chance of a potential personal or financial loss.






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






37. The place where stocks are bought and sold.






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






39. A technique used for estimating the number of years required to double your money at a given rate






40. Investors who are afraid to make investments






41. A clause included in many credit card company agreements that allows a credit card company to increase your interest rate if you make just one late payment.






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






43. The profit from an investment.






44. The credit union term for a checking account.






45. The idea that money today is worth more than the same amount of money in the future due to its potential earning capacity.






46. Property consisting of houses and land






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






48. A detailed record of your personal credit and financial transactions.






49. Spreading risk among many types of investments; one way to minimize risk






50. The entire amount of money you owe to lenders