Finance and Investment Concepts

"The Fed" is short for:

• The Federal Reserve System

• The Federal Deposit Insurance Corporation

• The Federal Trade Commission

• The Federal Bureau of Investigation

A type of electronic funds transfer (EFT) is:

• An ATM transaction

• A credit card payment

• A wire transfer

• A check deposit

The decision to give an applicant credit is made a:

• Creditor

• Debtor

• Loan Officer

• Credit Bureau

The price of a security may be affected by:

• Current events

• Historical trends

• Investor sentiment

• Market regulations

Matthew and Alicia just had a baby. They received money as baby gifts and want to put it away for the baby's college tuition. Which of the following has the lowest potential growth rate over the next 18 years?

• Savings accounts

• Stocks

• Bonds

• Mutual funds

An investor buys 100 shares of a common stock @ $36.00 a share. The stock is now selling at $ 38.00 a share. When deciding whether to hold or sell the stock, which factor is it important for the investor to consider?

• The potential for future stock price increases.

• The commission charged for buying and selling the stock.

• The overall market trend for stocks.

• The investor's emotional attachment to the stock.

Maxine has an auto loan that she has to pay. She will make monthly payments over five years. She has a(an):

• Revolving credit

• Installment loan

• Secured loan

• Unsecured loan

Safe-deposit boxes are:

• Accessible to anyone with a key

• Safe and can be accessed only by the owner of the box

• Only available in banks

• Used for storing cash only

The common name for U.S. currency is:

• Green backs

• Bucks

• Dollars

• Cash

One of Andre's seldom-used credit cards has been stolen without his knowledge. When he gets his monthly statement, he realizes that someone else has been using the card and reports it stolen. The maximum amount of the unauthorized purchases he is he liable for is:

• $25

• $50

• $100

• $200