PF- Investing and Retirement

Question 1

The relationship of substantial reward compared to the amount of risk is referred to as....

Accepted Answer

Risk-Return Ratio

Question 2

Which of the following won't be taxed when you withdraw it during retirement?

Accepted Answer

A Roth IRA

Question 3

Single stocks and mutual funds carry the same amount of risk.

Accepted Answer

False

Question 4

Which of the following should be used for emergency funds?

Accepted Answer

Savings, Money Market

Question 5

The New York Stock Exchange is the smallest stock exchange in the US.

Accepted Answer

False

Question 6

A _____ is a distribution of a portion of a company’s earnings to its shareholders.

Accepted Answer

Dividend

Question 7

Securities that represent part ownership or equity in a corporation are called...

Accepted Answer

Stocks

Question 8

If you leave a job, what should you do with money you have in your employer's retirement plan?

Accepted Answer

Do a direct rollover into an IRA

Question 9

Which investment has a moderate risk and above average growth?

Accepted Answer

Mutual Funds

Question 10

A _____ is a savings account sold by insurance company and pays out at specified intervals.

Accepted Answer

Annuity

Question 11

War bonds were last issued by the US government to fund which war?

Accepted Answer

World War 2

Question 12

Money invested in retirement plans that is tax-deferred or tax-free are called...

Accepted Answer

Tax-Favored Dollars

Question 13

The _______ liquid the investment is, the _______ return.

Accepted Answer

more, less, less, more

Question 14

When investing, you should do all of the following EXCEPT:

Accepted Answer

Borrow money so that you can invest, Switch investment strategy often

Question 15

You should fund your 401(k) whether your employer matches or not.

Accepted Answer

True

Question 16

Which of the following plans should be used to set aside funds for college?

Accepted Answer

529

Question 17

Which of the following is a retirement plan for non-profit organizations?

Accepted Answer

403 (b)

Question 18

Which of the following is NOT a mutual fund recommended by Dave?

Accepted Answer

Bonds

Question 19

Which government entity regulates the stock market?

Accepted Answer

Securities Exchange Commission

Question 20

Of the following, which is the best investment option?

Accepted Answer

Mutual Funds

Questions 20