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






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






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






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






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






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






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






8. Companies that provide extensive financial data to clients






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






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






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






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






13. The increase or decrease in the original purchase price of an investment over a period of time.






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






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






16. Debt obligations of corporations






17. US treasury security that matures in 30 years






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






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






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






21. On a credit card - the length of time you have before you start accumulating interest on an unpaid balance.






22. 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.'






23. The entire amount of money you owe to lenders






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






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






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






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






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






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






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






31. Associated with owning stock of similar groups of businesses






32. The chance that inflation will rise faster than the rate of return on an investment






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






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






35. Debt obligations of state or local governments






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






37. 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.






38. The amount a corporation borrowed in a bond situation






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






40. The profit from an investment.






41. Debt obligations of corporations






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






43. Investors who are afraid to make investments






44. 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.






45. Property consisting of houses and land






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






47. Debt obligations of state or local governments






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






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






50. Another term for budget