Test your basic knowledge |

Wealth Management

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 loan made on the signature and credit of the borrower - not secured by collateral. Credit card. (Debenture)






2. Having honest intentions






3. By planning ahead you can ensure financial stability during your retirement.






4. A trust taking effect during the lifetime of a trustor. Also called an inter vivos trust.






5. Is your gross income after certain reductions have been made






6. An accounting entry acknowledging sums that are owing






7. A payment given as a guarantee that an obligation will be met






8. The act of reducing the selling price of merchandise






9. Any of a number of fraudulent - deceptive - discriminatory - or unfavorable lending practices. Many of these practices are illegal - while others are legal but not in the best interest of the borrowers.






10. Act of combinging all debts into one monthly payment - typically extending the terms and the length of time required to repay the debt






11. Cash payments made by the government to people who do not supply goods - services - or labor in exchange for these payments. They include Social Security benefits - veterans' benefits - and welfare payments.






12. Whatever must be given up to obtain some item






13. Income before taxes






14. The period covered by a salary payment






15. Limited quantities of resources to meet unlimited wants






16. The act of committing money or capital to an endeavor (a business - project - real estate - etc.) with the expectation of obtaining an additional income or profit.






17. A record of the financial situation of an institution on a particular date by listing its assets and the claims against those assets






18. Anything that is used to produce goods or services






19. Funds that are often times traded through a stock exchange (NYSE)






20. The commercial activity of transporting and selling goods from a producer to a consumer






21. The fee - expressed as a percentage - a borrower owes for the use of a creditor's money. At an interest rate of 10% - a borrower would pay $110 for $100 borrowed.






22. The act of lending money at an exorbitant rate of interest






23. Items of personal interest to collectors that can increase in value in the future






24. A periodic statement prepared by a bank for each client






25. An extra charge for various credit activities such as using an ATM or receiving a cash advance






26. Shares of ownership in a company






27. The maximum credit that a customer is allowed






28. Funds that are often times traded through a stock exchange (NYSE)






29. A bank account that accumulates interest






30. Savings account that pays market rate or better interest and allows access to funds without penalty.






31. A share set aside for a specific purpose






32. A deduction allowed to a taxpayer because of his status (having certain dependents or being blind or being over 65 etc.)






33. A loan in which the rate can be altered to adjust to economical need






34. Financial reports that summarize the financial condition and operations of a business






35. Interest calculated on both the principal and the accrued interest






36. Funds that pay part of their distributions out of principal cannibalize their assets. This depletes the fund's asset base. Funds cannibalize assets to maintain a dividend and keep shareholders happy. However - like feeding a cow its own milk - this p






37. Money paid to a worker






38. A tax-deferred investment and savings plan that acts as a personal pension fund for employees






39. Beliefs of a person or social group in which they have an emotional investment (either for or against something)






40. Financial reports that summarize the financial condition and operations of a business






41. A yearly statement of the financial condition - progress - and expectations of an organization






42. Increase of an amount of money as a result of interest or dividends earned - directly corresponds with inflation






43. Bring into consonance or accord - to agree on terms






44. A penalty for making a payment after the due date






45. The value of a security that is set by the company issuing it






46. Maintain by writing regular records






47. A penalty for making a payment after the due date






48. The process of managing one's assets and wealth






49. A venture undertaken without regard to possible loss or injury






50. Short-term and Long-term objectives that are driven by values.