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. Wall Street Journal and Barron's






2. The credit union term for a checking account.






3. Investors who are afraid to make investments






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






5. 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.






6. Business Weekly & Forbes & Money






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






8. Earning interest on interest.






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






10. Regular and planned investments






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






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






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






14. A formal contract to repay borrowed money with interest at fixed intervals






15. The entire amount of money you owe to lenders






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






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






18. 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.






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






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






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






22. The probability that injury - damage - or loss will occur.






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






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






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. Companies that provide extensive financial data to clients






27. 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.






28. The profit from an investment.






29. A legal process to get out of debt when you can no longer make all your required payments.






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






31. Fee on credit card for making charges above your credit limit.






32. Merrill Lynch & Fidelity Investments & American Express






33. Property consisting of houses and land






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






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






36. US treasury security that matures in 30 years






37. Brokers who provided little or no information to clients






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






39. Regular and planned investments






40. The place where stocks are bought and sold.






41. 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.






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






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






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






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






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






47. Bold and high-risk investments






48. Management of investment alternatives to maximize the growth of your portfolio






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






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