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WorksheetsSavings Account
Total questions: 13
Worksheet time: 4mins
Saving money's purpose is to aside for future use.
Ture
False
What do savings plans include?
regular savings accounts
certificates of deposit
money market funds
all of above
How much percent of your take-home income should you try to save?
5%
10%
15%
20%
What are the reasons that people set up and maintain a savings plan?
making major purchases
providing for emergencies
all of above
planning for retirement
When we want to save the money, where should the money exist?
a jar
bank
a piggy bank
under a mattress
What is the biggest reason people should deposit money in the bank?
they can earn interest on savings
bank is safer than other places
they just want to put the money in the bank
The rate of return is the percentage of increase in the value of your savings from earned interest.
Ture
False
Interest earned on both the principal and any interest earned on the principal.
rate of return
compound interest
simple interest
principal earnings
Which one is not a savings account？
regular savings account
certificates of deposit
paper recording
money market funds
The interest rate on a CD is __________ than that on a regular savings account.
Lower
Higher
Same
Does not earn interest
If you cash in a CD before the maturity date you will __________ and __________. (select 2)
pay a penalty
pay the interest
lose interest
lose the principal
Liquidity is the ability to quickly turn ________ into ________. (select 2)
an investment
principle
interest
cash
Inflation risk is the risk that the rate of inflation will increase more than the rate of interest on savings.
True
False
