Investing/Retirement Quiz3

What does ROI stand for in the context of investing?

• Return on Investment

• Risk of Inflation

• Revenue of Insurance

• Rate of Interest

What is the stock market?

• A physical market where goods are exchanged

• A market only for government bonds

• A place for buying and selling shares of public companies

• A type of supermarket

Name the type of investment - when is the money taxed when invested?

• Roth IRA

• Traditional IRA

• 401K

• 403b

What does the word 'invest' mean?

• Spending money impulsively over a long time

• Saving money in platforms to increase wealth

• Borrowing money from others and repaying with interest

• Donating money to charity

Tags

CCSS.L.11-12.6

CCSS.L.8.6

CCSS.L.9-10.6

CCSS.W.11-12.2D

CCSS.W.9-10.2D

What is an 'investment'?

• Purchasing goods for personal use

• Hiding money under a mattress

• Putting money into something with the expectation of profit

• Giving money away without expecting anything in return

Tags

CCSS.HSS.MD.B.5

Which type of fund will most working American qualify for at age 62.5?

• Traditional IRA

• Social Security

• Roth IRA

• Pension plan

How is a bond different from a stock?

• Bond- loan you give an organization; stock-partial ownership in a company

• Bonds -riskier than stocks but have the potential to earn higher returns

• Bonds- smaller startup companies; stocks - well-establish organizations

• Bonds earn high returns while stocks provide a stable source of income

What is a real asset?

• An asset that can be touched and felt

• An asset that is imaginary

• An asset that is easily traded

• An asset that generates no income

Which statement about compound interest is TRUE?

• Compound interest is difficult to calculate so earns higher profits

• Compound interest means your fund manager doesn't charge a fee

• Compound interest impacts how much you are charged in fees

• Compound interest is money earned on money and interest earned previously

Tags

CCSS.7.RP.A.3

What is a brokerage account primarily used for?

• Buying real estate

• Investing in cryptocurrency

• Trading assets such as stocks, bonds, mutual funds

• Opening a savings account