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. Debt obligations of corporations






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






3. 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.






4. Associated with owning stock of only one company






5. The amount a corporation borrowed in a bond situation






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






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






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






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






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






11. Summary of a corporation's financial condition






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






13. Losses in an investment as a result of the business cycle






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






15. Collection of investments






16. Associated with owning stock of similar groups of businesses






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






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






19. Debt obligations of state or local governments






20. Money used for short-term needs like emergencies; advisers recommend three to six months' net pay for set aside for this






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






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






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






24. Investment choices that will be held for long periods






25. Business Weekly & Forbes & Money






26. 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.






27. Investment choices that will be held for long periods






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






29. Conservative investing; used when you have 'excess' savings






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






31. 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.






32. Property consisting of houses and land






33. The profit from an investment.






34. Wall Street Journal and Barron's






35. The setting aside of money for future use or other investments






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






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






38. Investors who are afraid to make investments






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






40. 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.






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






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






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






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






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






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






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






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






49. 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.






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