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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. A unit of ownership in a corporation






2. The credit union term for a savings account.






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






4. Regular and planned investments






5. Standard and Poor's and Moody's






6. Companies that provide extensive financial data to clients






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






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






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






10. The idea that money today is worth more than the same amount of money in the future due to its potential earning capacity.






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






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






13. 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.






14. 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.






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






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






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






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






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






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






21. Earning interest on interest.






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






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






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






25. Another term for budget






26. The credit union term for a savings account.






27. Regular and planned investments






28. An electronic machine that bank customers and credit union members can use to withdraw cash and make other financial transactions.






29. 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.






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






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






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






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






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






35. 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.






36. A unit of ownership in a corporation






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






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






39. Investment choices that will be held for long periods






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






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






42. 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.






43. A mathematical method that can be used to show how long it will take to double your money in an investment simply by dividing 72 by the rate of interest.






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






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






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






47. Debt obligations of corporations






48. Investment choices that will be held for long periods






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






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






Can you answer 50 questions in 15 minutes?



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