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Test your basic knowledge |
Financial Literacy Basics
Start Test
Study First
Subjects
:
literacy
,
personal-finance
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. A chosen pursuit - profession - or occupation
Investing
career
Rule of 72
phishing
2. A bank account against which the depositor can draw checks payable on demand.
Series EE Savings Bond
checking account
credit limit
spending plan
3. Wall Street Journal and Barron's
bank
well-known financial newspapers
put-and-take account
permanent investment
4. 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.
US Treasury Bills
ATM - Automatic Teller Machine
social security tax
variable expenses
5. A spending plan for managing money during a given period of time.
risk management
budget
APR - Average Percentage Rate
checking account
6. Fee on credit card for making charges above your credit limit.
annual report
US Treasury Bills
over-the-limit fee
options
7. An electronic machine that bank customers and credit union members can use to withdraw cash and make other financial transactions.
debit card
bond
strategic investing
ATM - Automatic Teller Machine
8. On a credit card - the length of time you have before you start accumulating interest on an unpaid balance.
diversification
risk taker
permanent investment
grace period
9. Another term for budget
spending plan
risk management
periodic or occasional expenses
municipal bonds
10. A government sector that requires all public corporations to make annual reports available to their stockholders
credit
risk management
Securities and Exchange Commission
well-known investor services
11. Standard and Poor's and Moody's
well-known investor services
credit score
credit union
Rule of 72
12. Movement of money you receive and the money you spend
corporate bonds
social security tax
well-known investor services
cash flow
13. Charles Schwab & TD Ameritrade & E*TRADE
grace period
well-known discount brokers
credit score
non-market risk
14. Uncontrollable and unpredictable events that cause an investment to lose value
origination fee
US Treasury Notes
non-market risk
debt
15. Associated with owning stock of similar groups of businesses
industry risk
non-market risk
variable expenses
Series EE Savings Bond
16. A unit of ownership in a corporation
debit card
credit limit
annuities
stocks
17. Losses in an investment as a result of the business cycle
savings
market risk
strategic investing
Temporary investment
18. Collection of investments
inflation
investor services
market risk
portfolio
19. Coins & art & memorabilia or other items that are popular from time to time
short term goal
annual fee
collectibles
periodic or occasional expenses
20. Newspapers list of securities
universal default
financial pages
ATM - Automatic Teller Machine
risk averse
21. Spreading risk among many types of investments; one way to minimize risk
portfolio
phishing
credit report
diversification
22. The chance that inflation will rise faster than the rate of return on an investment
risk management
interest-rate risk
dividend
stock market
23. An amount of money that is loaned on trust with the expectation that it will be repaid at a later date.
futures
systematic investing
credit
delayed gratification
24. The credit union term for a checking account.
industry risk
share draft account
budget
credit score
25. 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.
savings account
well-known discount brokers
inflation
inflation
26. Another term for budget
spending plan
investing risk
maturity date
investing risk
27. An amount that credit card companies can charge for the use of a credit card.
satellite decisions
ATM - Automatic Teller Machine
career
annual fee
28. Merrill Lynch & Fidelity Investments & American Express
Temporary investment
Series I Savings Bond
Rule of 72
well-know full-service brokers
29. Regular and planned investments
bank
systematic investing
Rule of 72
Investing
30. A summary of a person's borrowing and repayment history.
dollar cost average
principal
credit history
non-market risk
31. Losses in an investment as a result of the business cycle
industry risk
annuities
savings
market risk
32. The unique passcode number you use to get access to your savings and/or checking account
universal default
Personal Identification Number - PIN
capital gain
origination fee
33. The practice of investing a fixed amount into the same investment at regular intervals - regardless of what the stock market is doing.
savings
checking account
dollar cost average
coverage limit
34. The profit from an investment.
opportunity cost
speculative investments
options
yield
35. Things that add comfort and pleasure to your life but you can live without if you need to.
well-know financial magazines
annual report
wants
grace period
36. Contacts to buy and sell commodities or stocks for a specific price on a specific date
interest
futures
industry risk
values
37. The date on which the borrowed money must be repaid
permanent investment
maturity date
Series I Savings Bond
spyware
38. A technique to gain personal information for the purpose of identity theft - usually by means of fraudulent e-mail or pop-up messages.
market risk
debit card
Temporary investment
phishing
39. Investing with a series of regular payments; usually associated with life insurance companies
mutual funds
strategic investing
credit limit
annuities
40. A chosen pursuit - profession - or occupation
career
savings
financial advisers
diversification
41. The portion of the profits paid to the shareholders of a company.
credit score
values
dividend
annuities
42. The value of What is given up when you choose one option over another.
share account
opportunity cost
debt
company risk
43. The maximum amount an insurance company will pay if you file a claim.
well-know full-service brokers
coverage limit
strategic investing
delayed gratification
44. A form of bankruptcy that allows you to erase most of your debt.
diversification
periodic or occasional expenses
chapter 7
annuities
45. On a credit card - the length of time you have before you start accumulating interest on an unpaid balance.
well-known discount brokers
Securities and Exchange Commission
grace period
values
46. Maximum amount of credit a lender will extend to a customer.
cash flow
yield
interest-rate risk
credit limit
47. The value of What is given up when you choose one option over another.
opportunity cost
well-known financial newspapers
grace period
short term goal
48. A government sector that requires all public corporations to make annual reports available to their stockholders
deductible
interest-rate risk
diversification
Securities and Exchange Commission
49. The total amount of what it costs you to use credit in a given year. It is expressed as a percentage of the amount borrowed.
bankruptcy
APR - Average Percentage Rate
bank
grace period
50. 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.
universal default
real estate
permanent investment
coverage limit