Currency/Saving/Investing

Which is the least risky?

• Stock
• CD
• Savings account
• Mutual fund

Don't put all your eggs in one basket best refers to which of the following pieces of advice

• Diversify your stock portfolio in order to reduce risk
• Invest in a single stock for the largest gain
• Take out as many loans as you can
• Don't hesitate when buying stocks

A pool of money collected from many investors, and used to buy stocks, bonds, and other securities.

• stock

• mutual fund

• bond

• goals

The amount of money you earn compared to the amount of money you invest

• Equity investment

• term

• fixed income statements

• return on investment (ROI)

Provides fixed interest payments for a set period of time

• money

• stock

• bond

• mutual fund

Bonds are a safer investment than stocks

• True

• False

Stock is a small piece of ownership in a company.

• True

• False

What is compound interest?

• Type of interest earned on the principal of an investment

• Type of interest earned on a mutual fund

• Type of interest that is paid on both principal and accumulated interest

It is best to buy a Stock when the price is high.

• True
• False

When society is experiencing inflation,

• Prices are higher
• Prices are lower
• Prices stay the same
• All of the above