Low and Medium Risk Investments

Question 1

Which of the following is not an employer-sponsored retirement plan?

Accepted Answer

IRA(c)

Question 2

We'll start off simple... when is Assessment #8?

Accepted Answer

April 4, Thursday, April 4, Thursday

Question 3

Which of the following is NOT a low risk investment?

Accepted Answer

mutual fund

Question 4

A ______________ is an investment that allows you to legally avoid or reduce income taxes.

Accepted Answer

tax shelter

Question 5

Which of the following is not a type of retirement account?

Accepted Answer

SJW

Question 6

A _____ account is a retirement plan for employers of nonprofit/educational organizations.

Accepted Answer

403(b)

Question 7

How do you calculate ROI (return on investment)?

Accepted Answer

profit/gain ÷ original investment, loss ÷ original investment

Question 8

To prepare for Thursday's Assessment #8, you should:

Accepted Answer

create a two page reference sheet, have read all of Sections 10.1, 10.2, 10.3, 11.1 and 11.2, be able to answer everything on the learning goals

Question 9

Tax deferred means _______.

Accepted Answer

paying taxes when you withdraw money

Question 10

________ is the process of moving an investment balance to another qualified account.

Accepted Answer

Rollover

Question 11

Buying a mutual fund is a form of __________.

Accepted Answer

indirect investing

Question 12

What is a certificate of deposit?

Accepted Answer

$$ set aside for a fixed amount of time at a fixed rate

Question 13

True or False: CDs pay higher interest rates when set aside for longer periods of time.

Accepted Answer

True

Question 14

A __________ is a type of account that pays the market rate if interest on the money deposited.

Accepted Answer

money market

Question 15

When would you pay a withdrawal fee?

Accepted Answer

When you withdraw money from a CD before the agreed time

Questions 15