Saving Investing and Risk (Junior Achievement)

What does the acronym PYF stand for when it comes to dealing with your money?

• Prepare your future

• Pay yourself first

• Pay your friends

• Prepare your finances

When it comes to saving vs investing, which gives you the best chance of making the most money?

• Savings options

• Investing options

• They are both the same

When it comes to savings vs investing options, which are usually safer (less chance of losing money)?

• Savings options

• Investing options

• They are both the same

This type of investment is essentially an IOU, where the business or government selling it will pay the buyer your money back at the end of a period of time and also pay you interest payments at certain time periods.

• Money market account

• Bond

• CD (Certificate of deposit)

• Stock

This type of investment represents ownership of shares in a corporation.

• Bonds

• Mutual funds

• Stocks

• Savings accounts

Which of the following would be the safest choice?

• Stocks

• Bonds

• Mutual funds

• Savings accounts

Which of the following would be the riskiest (greates chance of losing money)?

• Stocks

• CD's

• Money market savings

• Regular savings accounts

Protection against risk (unexpected events) is the reason people purchase what type of insurance?

• Auto insurance

• Health insurance

• Home or apartment insurance

• All of these types of insurance

Your cost (regular bill for having) insurance is called your ____________.

• Co-pay

• Premium

• Policy

• Claim

Which of the following is FALSE regarding auto insurance?

• Everyone pays the same premium for having insurance

• Where you live and the type of car can effect your cost

• Younger people pay more (generally) than more experienced drivers

• It protects you against unexpected events.