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






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






3. Business Weekly & Forbes & Money






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






5. Debt obligations of corporations






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






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






8. The right & not the obligation & to buy or sell commodities or stocks for a specific price on a specific date






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






10. 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.'






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






12. 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.






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






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






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






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






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






18. Associated with owning stock of similar groups of businesses






19. Brokers who provide clients with analysis and opinions






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






21. Debt obligations of corporations






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






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






24. US treasury security that matures in 30 years






25. Companies that provide extensive financial data to clients






26. The amount a corporation borrowed in a bond situation






27. Investors who take to take chances






28. A summary of a person's borrowing and repayment history.






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






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






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






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






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






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






35. The portion of the profits paid to the shareholders of a company.






36. The entire amount of money you owe to lenders






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






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






39. The profit from an investment.






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






41. Bold and high-risk investments






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






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






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






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






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






47. A chosen pursuit - profession - or occupation






48. The amount a corporation borrowed in a bond situation






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






50. The credit union term for a savings account.