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






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






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






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






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






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






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






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






9. Companies that provide extensive financial data to clients






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






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






12. 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.'






13. Debt obligations of state or local governments






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






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






16. Brokers who provide clients with analysis and opinions






17. Business Weekly & Forbes & Money






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






19. Is a numerical rating - based on credit report information that represents a person's level of creditworthiness






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






21. A unit of ownership in a corporation






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






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






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






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






26. Expenses that are not fixed.






27. Debt obligations of corporations






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






29. 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.






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






31. The profit from an investment.






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






33. 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.






34. Merrill Lynch & Fidelity Investments & American Express






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






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






37. Another term for budget






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






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






40. Investment choices that will be held for long periods






41. Summary of a corporation's financial condition






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






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






44. Brokers who provided little or no information to clients






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






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






47. A chosen pursuit - profession - or occupation






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






49. Investors who take to take chances






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