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. US treasury security that matures in 30 years






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






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






4. Expenses that aren't paid every month and can be either fixed or variable.






5. The amount a corporation borrowed in a bond situation






6. A chosen pursuit - profession - or occupation






7. Another term for budget






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






9. Expenses that aren't paid every month and can be either fixed or variable.






10. 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.






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






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






13. Summary of a corporation's financial condition






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






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






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






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






18. Expenses that are not fixed.






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






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






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






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






23. Expenses that are not fixed.






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






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.






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






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






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






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






30. A financial institution owned by its members that provides savings and checking accounts and other services to its membership at low fees.






31. Associated with owning stock of similar groups of businesses






32. Investors who take to take chances






33. Actions that the government might take that would reduce the value of an investment






34. Charles Schwab & TD Ameritrade & E*TRADE






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






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






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






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






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






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. Brokers who provide clients with analysis and opinions






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






43. Debt obligations of state or local governments






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






45. Earning interest on interest.






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






47. A financial institution owned by its members that provides savings and checking accounts and other services to its membership at low fees.






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






49. The credit union term for a checking account.






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