What is a bad thing about cyptocurrency?

They are unpredictable- lots of ups and downs

What is a bad thing about mutual funds?

They cannot be changed and can be expensive

An index that tracks the stocks of the top 500 companies in the US

A person appointed to handle a customer’s financial affairs

A group of stocfks that spread risk over several companies

What is a good thing about a mutual fund?

They are more stable than individual stocks

What is a pro of investing in stocks?

They are relatively easy to buy and sell

Keep money safe and pay interest

A probate judge deals with which of the following types of cases?

Validating an individual’s last will and testament

Selling Government bonds (Securities) - Government Debt

Contraction - Takes Money out of the Economy.

Why do most cryptocurrency transactions involve the usage of lots of electricity?

Computers all over the world process transactions

Bonds sold by the U.S. Department of the Treasury

What is the minimum a person should contribute to their 401K?

the maximum the company will match

What are capital gains?

A profit from the sale of property or an investment

Contains a wide range of different investment instruments

is a document frequently used to authorize one person to act on behalf of a

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EPF Unit 5- Investing

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Questions 35

Answers

1
What is a bad thing about cyptocurrency?
They are only backed by 3 major banks
They can only be traded on Google services
They are higher than other investments
They are unpredictable- lots of ups and downs
2
What are pensions and 401ks?
Taxes you pay
Insurance you buy
Ways to save for retirement
3
Government bonds are:
A form of money
A way for firms to borrow money
A form of Government IOU
A type of lottery
4
Mutual funds :
are less risky than stocks
are guaranteed money
are more risky than stocks
have no risk at all
5
A Roth 401k is taxed when your withdraw funds.
False
True
6
What is a bad thing about mutual funds?
They are unpredictable
They are not regulated by the government
They are only backed by 3 major banks
They cannot be changed and can be expensive
7
Savings accounts are ____.
offered by any savings institution
all of the above
a place in which you can deposit money
a way you can earn interest
8
What is the S&P 500?
The post popular mutual fund
The most popular bond from the US government
AN index that tracks the 3 largest cryptocurrencies
An index that tracks the stocks of the top 500 companies in the US
9
In a Roth 401k or IRA the investment grows tax free.
T
F
10
Power of Attorney
A person appointed to handle a customer’s financial affairs
An account for people under 18
When a customer goes bankrupt
11
Mutual Funds are
Stocks from one company
A group of stocfks that spread risk over several companies
Are high risk as they are all start up companies
A group of stocks from real estate
12
What is a stock?
Money you make on your second job
A loan to the government
A small "piece" of a company
a law that regualtes banks
13
What is a good thing about cryptocurrency?
Crypto is easy to create
Crypto cannot be hacked
Crypto is guaranteed to make money
Crypto is heavily regulated by the government
14
What is a good thing about a mutual fund?
They can be arranged to fit your needs
They are almost always cheaper than a bond
They are more stable than individual stocks
They are only accessible to people worth less than $150,000
15
A 401K and IRA are both considered this type of savings option.
Mutual Fund
Stock
Retirement Account
Money Market Account
16
What is a pro of investing in stocks?
They are easy to predict
They are not regulated by the government
They are relatively easy to buy and sell
They guarantee returns
17
The Dow Jones is
a corporation
a stock market index
a stock market
a commercial bank
18
At what age can you withdraw money from a traditional 401k without penalty?
58
62 1/2
59 1/2
55
19
The higher the risk, the higher the reward
False
True
20
The government borrows money by selling government bonds
True
False
21
This program provides pensions for the handicapped, orphaned, blind and elderly
Social Security
Temporary Assistance for Needy Families
Medicaid
Medicare
22
What are Dividends?
negative earnings paid to the CEO
Profits paid to the CEO
Profits paid to Shareholders
Profits paid the workers only
23
Savings accounts:
Keep money safe and pay interest
Keep money on hand to spend at a moment's notice
Help a person manage the money he/she spends
Keep money safe and charge interest for saving
24
A probate judge deals with which of the following types of cases?
Both felony and misdemeanor criminal cases
Revocation of an individual’s house arrest
White-collar crimes, such as embezzlement
Validating an individual’s last will and testament
25
Selling Government bonds (Securities) - Government Debt
Contraction - Takes Money out of the Economy.
Expansion - Outs Money Into the Economy.
26
The Dow Jones Index is comprised of _____.
30 mutual funds
500 stocks of large companies
30 stocks of large companies
30 bonds
27
Why do most cryptocurrency transactions involve the usage of lots of electricity?
Computers all over the world process transactions
They need to report the data to banks
It’s the 1st time money can be sent electronically
The government wants a copy of every transaction
28
True/False: Investing in a diversified portfolio of stocks guarantees you will not lose money.
False
True
29
Government Bonds
Double agents that work for the feds
Bonds issued by state or local governments
Bonds sold by the U.S. Department of the Treasury
Are the same as junk bonds
30
What is the minimum a person should contribute to their 401K?
none of the above
10%
5%
the maximum the company will match
31
What are capital gains?
Knowing the capitals of the states
Getting a new job
A profit from the sale of property or an investment
A raise
32
What technology is used to record cryptocurrency transactions?
Token
Mining
Blockchain
Digital wallet
33
Mutual funds:
Usually less risky than investing in a money market
Contains a wide range of different investment instruments
Guaranteed to increase in value
An investment portfolio managed by the investor
34
Government Bonds
Have a higher risk than stocks
Have higher returns than stocks
Are Issued by the US Treasury
All the above
35
power of attorney
for the preservation of historic sites
is a temporary suspension of property tax used to encourage economic develo
passed for the express purpose of minimizing the legal risks that common la
is a document frequently used to authorize one person to act on behalf of a

EPF Unit 5- Investing Flashcards | StudBud