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Financial Literacy Vocab

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. Commonly called 'take home pay'; it is your income AFTER all deductions and exemptions.






2. The value of the second-best alternative that a person gives up when making one choice instead of another.






3. Money earned from investments and employment.






4. An agreement to provide goods & services & or money in exchange for future payments with interest by a specific date or according to a specific schedule.






5. The fee paid for insurance protection.






6. A bank or credit union account that allows withdrawals by writing a check.






7. A state of being legally released from the obligation to repay some or all debt in exchange for the forced loss of certain assets.






8. A statement about What a person wants to be & do & or have & accomplished by taking certain steps; provides direction to a plan of action.






9. The percentage of the costs of medical services paid by the patient.






10. Federal government program & financed by deductions from wages that pays for certain health care expenses for older citizens.






11. A written contract specifying the terms for the use of an asset and the legal responsibilities of both parties to the agreement & such as a property owner and tenant.






12. A written legal document directing a bank or credit union to pay a person or business a specific sum of money.






13. The chance or likelihood that something will happen.






14. The value of the second-best alternative that a person gives up when making one choice instead of another.






15. An account in which an individual may set aside earned income in a tax-deferred savings plan for his or her retirement.






16. Payment for the use of someone else's money






17. A person who owns property and rents it to another.






18. Expenditures that are the same from week to week or month to month; such as mortgage or rent or car payments.






19. A measure of the uncertainty of an investment's rate of return; possible losses.






20. A long-term loan to buy real estate including land and the structures on it.






21. A measure of the uncertainty of an investment's rate of return; possible losses.






22. An amount of money that the member or insured pays directly to a provider at the time services are rendered.






23. A retirement plan that allows employees in private companies to make contributions of pre-tax dollars to a company pool that is then invested in stocks & bonds & or money markets.






24. Using a person's name or personal information without the person's permission to steal money or get other benefit.






25. A person who pays rent; the legal name for a renter.






26. Federal government program & financed by deductions from wages that pays for certain health care expenses for older citizens.






27. The chance that an investment has been misrepresented.






28. The belief that people should be taxed according to the benefits they receive from the good or service the tax supports. (Example- gas tax)






29. A plan for managing money & dividing up expected income and expenses among spending and saving options based on personal goals during a given time period.






30. A state of being legally released from the obligation to repay some or all debt in exchange for the forced loss of certain assets.






31. An establishment that collects and distributes credit history info. of individuals & business.






32. One may hack into your computer or another computer system & including schools & credit card companies & and other places maintaining personal info.






33. The costs of goods and services & including those that are FIXED (rent & car loans) and those that are VARIABLE (food & clothing & entertainment).






34. A plastic card used to deduct a purchase amount directly from your checking account.






35. A retirement plan that allows employees in private companies to make contributions of pre-tax dollars to a company pool that is then invested in stocks & bonds & or money markets.






36. A state or federally chartered & not-for-profit financial cooperative that provides financial services to its member-owners who have met specific requirements.






37. An establishment that collects and distributes credit history info. of individuals & business.






38. A tax that takes a larger percentage of income from people in higher-income groups than from people in lower-income ones; (Example - U.S. federal income tax)






39. The process used to determine What an individual wants to be & do or have (What a person wants to accomplish).






40. Payments earned by households for selling or renting their productive resources. May include salaries & wages & interest and dividends






41. Costs paid when buying a house or real estate.






42. A plastic card that authorizes the delivery of goods and services in exchange for future payment with interest & according to a specific schedule.






43. Interest calculated periodically on the loan principal or investment principal only & not on previously earned interest.






44. Expenditures that are the same from week to week or month to month; such as mortgage or rent or car payments.






45. Money earned from investments and employment.






46. The chance or likelihood that something will happen.






47. The belief that people should be taxed according to the benefits they receive from the good or service the tax supports. (Example- gas tax)






48. Services offered by organizations that help consumers find a way to repay debts through careful budgeting and management of funds.






49. An account in which an individual may set aside earned income in a tax-deferred savings plan for his or her retirement.






50. Anything subtracted from your gross income.