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. Business Weekly & Forbes & Money






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






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






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






5. Bold and high-risk investments






6. 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.






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






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






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






10. Investors who are afraid to make investments






11. Wall Street Journal and Barron's






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






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






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






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






16. Bold and high-risk investments






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






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






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






20. Summary of a corporation's financial condition






21. Debt obligations of state or local governments






22. 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.






23. Brokers who provide clients with analysis and opinions






24. Investment choices that will be held for long periods






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






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






27. Collection of investments






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






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






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






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






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






33. Newspapers list of securities






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






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






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






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






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






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






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






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






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






43. Earning interest on interest.






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






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






46. 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.'






47. Another term for budget






48. Summary of a corporation's financial condition






49. The place where stocks are bought and sold.






50. 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.