OTB Ch 30&31

Which is NOT a type of savings account?

• Certificate of Deposit

• money market account

• passbook account

• demand deposit

in which type of savings account are you lending your money to a business or the government?

• certificate of deposit

• money market fund

• simple interest account

• compound interest account

because money you earn on a savings account is considered unearned income, you have to do this

• pay taxes on it

• withdraw it

• deposit it

• pay interest on it

which of the following refers to the return on an investment or the amount of money an investment earns

• yield

• liquidity

• capital loss

• stock

eighteen years old is too young to begin saving for retirement

• true

• false

savings accounts earn low interest

• true

• false

interest earned on a savings account is a kind of rental fee for letting a bak use your money

• true

• false

when you buy stock, you are buying part of a partnership

• true

• false

if a company fails, common stockholders are paid before preferred stockholders

• true

• false

stocks can only be bought and sold on the stock exchange

• true

• false