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Savings & Investing Review
Savings & Investing Review
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This is a review for the Savings & Investing Test.
Flashcards
20 cards
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Practice quiz
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Questions
20
Answers
1
What does "Paying Yourself First" mean?
Give yourself a raise!
Put money into a savings account
Buy yourself a new car
Buy yourself a cheeseburger
2
Which term means the profit made on the sale of stock?
Dividend
Interest
Capital Loss
Capital Gain
3
Which is the primary form of ownership in a corporation?
Common Stock
Stock Exchange
Preferred Stock
Mutual Funds
4
Which is the least risky investment?
Bonds
Cash
Stocks
CD
5
This type of market is one in which prices are low or declining.
Bird Market
BooBoo Market
Bear Market
Bull Market
6
What is the safest investment?
CD
Regular Savings Account
Stocks
Money Market Account
7
Interest calculated on both deposits made and all interest collected is called _______________.
Simple Interest
Bank Interest
Compound Interest
Magic Interest
8
Which account requires you to deposit money in an account for a set period of time?
Money Market Account
Regular Savings Account
CD
Stocks
9
What is the biggest DISADVANTAGE of a regular savings account?
High Interest Rate
Low Rate of Return
Huge Profits
Liquidity
10
It takes 36 years to double your investment. Using the Rule of 72, what is the interest rate?
6%
2%
4%
3%
11
Which is the most liquid investment?
Stocks
CD
Cash
Bonds
12
Which is the least liquid investment?
Money Market Account
Gold Coin
CD
Cash
13
Which investment typically has the highest yield?
CD
Bonds
Cash
Stocks
14
Using your money to earn more money is commonly called ________________.
Saving
Investing
Speculating
Risk Avoidance
15
The APR is 24%. What is the monthly interest rate?
2%
8%
6%
4%
16
It takes 72 years to double your investment. Using the Rule of 72, what is the interest rate?
1%
3%
4%
2%
17
This is a way to invest in the stock market without buying stocks in a specific company.
Preferred Stock
Common Stock
Blue Chip Stock
Mutual Fund
18
The APR is 36%. What is the monthly interest rate?
2%
4%
6%
3%
19
Which is the riskiest investment?
Stocks
Bonds
Regular Savings Account
CD
20
Which is NOT a Stock Index?
S & P 500
Dow Jones Industrial Average
NASDAQ
NYSE