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WorksheetsSaving &Investing
Total questions: 60
Worksheet time: 2hrs 12mins
Kayla is considering whether to open a savings account or buy stock. Her financial advisor tells her that investing involves __________, but will help her money grow.
a down payment
risk
taxes
Savings accounts are _________, which means you can access your money quickly.
risky
safe
liquid
Fill in the correct terms to complete the description of Rebecca going through insurance claims process.
Rebecca’s husband died in a car accident. When she turns 67, she will receive her husband’s ________________.
401k account
Social Security benefits
certificate of deposit
Fill in the correct terms to complete the description of Rebecca going through insurance claims process.
Her children will also receive the same until they ________________.
graduate from high school
retire
become employed
The financial agency that sets monetary policy is _________________________.
The Federal Depository Insurance Corporation
The Federal Trade Commission
The Federal Reserve
The financial agency that insures bank deposits is ___________________.
The Federal Depository Insurance Corporation
The Federal Trade Commission
The Federal Reserve
Stock refers to a company's initial offering of shares.
True
False
A mutual fund is a small piece of ownership in a company.
True
False
The NASDAQ is a small piece of ownership in a company.
True
False
IPO refers to a company's initial offering of shares.
True
False
NASDAQ is a public stock exchange.
True
False
Stock is a small piece of ownership in a company.
True
False
Savings options would include a money market account and a promotional CD.
True
False
Investment options would include business ownership and bonds.
True
False
What are two ways someone could earn money on a real estate investment?
Residents pay to have the floors cleaned.
Owner could sell a property he or she fixed up.
Residents pay rent to the owner.
Owner could charge people that drive by the property.
Which savings account can a financial institution end or cancel?
money market account
youth savings account
credit union account
callable certificate of deposit
How much does your employer pay into the Social Security system on your behalf?
4.2 percent
8.4 percent
6.2 percent
12.4 percent
Lucretia deposits $2,000 into a savings account. If the Fed requires a 20 percent reserve ratio, how much of Lucretia’s money can the bank lend?
$1,200
$2,000
$1,600
$400
What is compound interest?
the interest earned on the principal of an investment
the interest earned on a mutual fund
the interest earned on a loan
the interest earned on both the principal and interest of an investment or savings account
Which of the following is a good reason to have a financial reserve that's larger than normal?
You would not be able to find another job quickly if you lost yours.
You have a large monthly car payment.
You have mostly discretionary expenses.
Your income is fairly predictable.
What is opportunity cost?
the principal in an investment account
the total amount of investments in a portfolio
the value of an investment opportunity you pass up in order to take another investment opportunity
the value of an investment opportunity when it's compared with all the other investments you've made in the past
What is a volatile investment?
an investment that can change quickly without warning
an investment that is fairly low risk
an investment that requires a high volume of investors
an investment that gains value slowly over time
Which portion would not be part of an investment portfolio?
a savings account
commodities fund
a savings 529 plan
equity investments in a company
When is your risk tolerance lowest?
when you are closest to needing the money you invested
when you are concerned about the diversity of your investment portfolio
when you are an inexperienced investor
when you first make the investment
What piece of information is most helpful when you're comparing investments?
the ROI percentage
the ROI dollar amounts
the total return dollar amounts
the initial investment amounts
How does an equity investor make money?
depositing money in compounding accounts
lending money and charging interest
selling an investment for more than they paid for it
selling many investments at the same time
What is a stock?
a partial ownership in a company
a group of real estate investments
a regular payment a company issues to investors
a government investment
Which policy is a way the SEC protects investors?
guaranteeing the value of certain stocks
insuring the amounts of people's investments
requiring companies to disclose financial information
helping investors diversify their portfolios
Which example is an investment commodity?
a rare painting
shares in a company
microfinancing
steel
Which option allows you to pool your money and invest in a portfolio with other investors?
a 401(k) plan
a 529 plan
an IRA account
a mutual fund
Which piece of information is typically included in a stock listing?
the number of shares of stock sold in a previous day
the predicted price of the stock over the next year
the company's SEC registration credentials
the number of shares of stock sold in the previous year
Which type of investment income happens when an investor sells ownership in an equity investment that's gained value?
dividends
capital gains
interest
equity gains
What is the New York Stock Exchange?
an indicator of how certain stocks may perform in the future
the world's largest exchange for trading stocks and other securities
a stock market where trades take place exclusively over computers
an index for measuring the performance of stocks
Kayla is considering whether to open a savings account or buy stock. Her financial advisor tells her that investing involves __________, but will help her money grow.
a down payment
risk
taxes
Savings accounts are _________, which means you can access your money quickly.
risky
safe
liquid
Fill in the correct terms to complete the description of Rebecca going through insurance claims process.
Rebecca’s husband died in a car accident. When she turns 67, she will receive her husband’s ________________.
401k account
Social Security benefits
certificate of deposit
Fill in the correct terms to complete the description of Rebecca going through insurance claims process.
Her children will also receive the same until they ________________.
graduate from high school
retire
become employed
The financial agency that sets monetary policy is _________________________.
The Federal Depository Insurance Corporation
The Federal Trade Commission
The Federal Reserve
The financial agency that insures bank deposits is ___________________.
The Federal Depository Insurance Corporation
The Federal Trade Commission
The Federal Reserve
Stock refers to a company's initial offering of shares.
True
False
A mutual fund is a small piece of ownership in a company.
True
False
The NASDAQ is a small piece of ownership in a company.
True
False
IPO refers to a company's initial offering of shares.
True
False
NASDAQ is a public stock exchange.
True
False
Stock is a small piece of ownership in a company.
True
False
Savings options would include a money market account and a promotional CD.
True
False
Investment options would include business ownership and bonds.
True
False
What are two ways someone could earn money on a real estate investment?
Residents pay to have the floors cleaned.
Owner could sell a property he or she fixed up.
Residents pay rent to the owner.
Owner could charge people that drive by the property.
Which savings account can a financial institution end or cancel?
money market account
youth savings account
credit union account
callable certificate of deposit
Lucretia deposits $2,000 into a savings account. If the Fed requires a 20 percent reserve ratio, how much of Lucretia’s money can the bank lend?
$1,200
$2,000
$1,600
$400
What is compound interest?
the interest earned on the principal of an investment
the interest earned on a mutual fund
the interest earned on a loan
the interest earned on both the principal and interest of an investment or savings account
