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BONDS

Total questions: 13

Worksheet time: 7mins

Name
Class
Date
1.

Bonds experience

a)

The same highs and lows as stock prices

b)

Don’t experience the same highs and lows as stock prices

c)

Have the same highs and lows as real estate

d)

Have the same highs and lows as mutual funds

2.

What are bonds?

a)

Store discount coupons

b)

Issued when governments and companies raise money

c)

Issued when government and mutual funds raise money

d)

Used to pay for college

3.

Why would governments need to raise money?

a)

To build governments

b)

To build cruise ships

c)

To build cruise ships

d)

To build highways

4.

Why would governments need to raise money?

a)

To build governments

b)

To build cruise ships

c)

To build companies

d)

To build highways

5.

Why would governments issue bonds to?

a)

Investors

b)

Consumers

c)

Entrepreneurs

d)

Reporters

6.

Investors lend

a)

Money

b)

Stocks

c)

Interest

d)

Spare Change

7.

Buying a bond means that you are....

a)

Lending your kindness

b)

Lending your clothes

c)

Lending your money

d)

Lending your school

8.

The Issuer is:

a)

The city that cancels your bond

b)

The city that loans you a bond.

c)

The company or government that sells you a bond

d)

The company or government that buys you a bond

9.

Investors are paid _________for the use of their money:

a)

Cattle

b)

Gold Coins

c)

Shares

d)

Interest

10.

The Issuer must repay the money that you invested on the ___________:

a)

New Year's Day

b)

Your Birthday

c)

Maturity Date

d)

Annually

11.

The Bond Rating System is

a)

Credit Risk Report Card

b)

Bond Rating Report Card

c)

Maturity Report Card

d)

Yearly Report Card

12.

Junk bonds are

a)

Safe

b)

Great Investment

c)

Risky

d)

Not risky at all

13.

Treasury Direct is:

a)

Food delivery service

b)

Broker’s Fee

c)

Buy bonds directly

d)

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