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 credit union term for a savings account.






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






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






4. A unit of ownership in a corporation






5. Bold and high-risk investments






6. 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.






7. A legal process to get out of debt when you can no longer make all your required payments.






8. A form of bankruptcy that allows you to erase most of your debt.






9. The value of What is given up when you choose one option over another.






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






11. US treasury security that matures from a few days to one year






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






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






14. The value of What is given up when you choose one option over another.






15. The amount a corporation borrowed in a bond situation






16. The amount a corporation borrowed in a bond situation






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






18. 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.






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






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






21. Investors who are afraid to make investments






22. Standard and Poor's and Moody's






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






24. US treasury security that matures in 30 years






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






26. A spending plan for managing money during a given period of time.






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






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






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






30. Discount bonds; a bond purchased for less than the maturity value; example you buy a $50 bond for $25






31. Expenses that are not fixed.






32. Earning interest on interest.






33. A chosen pursuit - profession - or occupation






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






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






36. Discount bonds; a bond purchased for less than the maturity value; example you buy a $50 bond for $25






37. Charles Schwab & TD Ameritrade & E*TRADE






38. The place where stocks are bought and sold.






39. Wall Street Journal and Barron's






40. A spending plan for managing money during a given period of time.






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






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






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






44. The credit union term for a checking account.






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






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






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






48. Merrill Lynch & Fidelity Investments & American Express






49. Wall Street Journal and Barron's






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