Quiz Quiz: {PFH] Accumulating Wealth & SMG Risk

Question 1

The chance that an investment will lose value is called

Accepted Answer

risk

Question 2

These stocks that are highly unpredictable, highly speculative and the riskiest.

Accepted Answer

Speculative

Question 3

A beta of more than __ indicates a stock that is more volatile than the market.

Accepted Answer

1

Question 4

Investing money is not the same as“saving” money.

Accepted Answer

True

Question 5

According to the video, "How to invest as a teenager," the best habits to build are:

Accepted Answer

Track your expenses, take care of your health, & be frugal

Question 6

In effect, compound interest is

Accepted Answer

All of these are compound interest

Question 7

Risk is very personal and is based on a variety of elements including:

Accepted Answer

All of these elements should be considered when assessing risk

Question 8

In order to determine if investing in a company is worth the risk, you should research

Accepted Answer

All of these should be researched before investing in a company's stock

Question 9

An investor’s ability to accept loss of some or all of the money he or she has invested, based on a number of factors

Accepted Answer

Risk Tolerance:

Question 10

Which investments would you choose if you wanted GROWTH over SAFETY and INCOME?

Accepted Answer

Moderate Risk: real estate, mutual funds, growth stocks, blue chip stocks

Question 11

A ____ stock is a risky stock—one that can go very high, or very low

Accepted Answer

Volatile:

Question 12

The Lowest Risk investments are

Accepted Answer

savings bonds, CDs, bank accounts, and money market accounts

Question 13

The beta shows how a particular stock's price moves in relation to the market as a whole. It is

Accepted Answer

a measure of a stock’s volatility

Question 14

Investing your money can give your dollars a greater opportunity to grow. What are some investment choices?

Accepted Answer

All of these are investment choices

Question 15

What is TRUE about risk?

Accepted Answer

Low risk may mean low profit; High risk may mean high profit or big losses

Question 16

The only danger to the money in a savings account is that the rate of ________will be greater than the _______ rate.

Accepted Answer

inflation, interest

Question 17

According to "How to invest as a teenager," it is suggested that you

Accepted Answer

All of these are suggestions

Question 18

Pay yourself first. A good rule of thumb is to set aside ______ of your income.

Accepted Answer

10 to 15 percent

Question 19

These stocks have some risk, and include growth stocks—particularly young companies with great potential.

Accepted Answer

Moderate

Question 20

A stock’s ____ number is one way investors can estimate the level of a stock’s risk.

Accepted Answer

beta

Question 21

The HIGHEST Risk investments are

Accepted Answer

junk bonds, speculative stocks, collectibles, futures, options

Question 22

More than ______ of millionaires are self‐made, first‐generation rich.

Accepted Answer

80%

Question 23

If you started saving $100 per month at age 18, how much will you have for retirement at age 66?

Accepted Answer

$1, 567, 088

Question 24

If you waited until age 35 to begin saving $100 a month toward retirement, how much will you have at age 66?

Accepted Answer

$278,513

Question 25

Fixed income and preferred stocks are not as risky. They are considered

Accepted Answer

Conservative

Quiz Quiz: {PFH] Accumulating Wealth & SMG Risk

Questions 25

Quiz Quiz: {PFH] Accumulating Wealth & SMG Risk

Questions 25