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Intro to Bus- Unit 2 eLearning Review

Total questions: 12

Worksheet time: 6mins

Name
Class
Date
1.

The main trade-off that investors must consider is risk vs. return/reward.

a)

True

b)

False

2.

Which types of bank accounts offer interest and can be considered an investment? (Choose all that apply)

a)

Certificate of Deposit (CD) Account

b)

Regular Checking Account

c)

Mutual Fund Account

d)

Money Market Fund Account

3.

Which of the following is not a reason to use money in a savings account?

a)

To save for retirement

b)

To buy a new laptop for college

c)

To pay for gas for your car

d)

To pay for emergencies

4.

An investment in which you purchase a portion of a company is known as a....

a)

Stock

b)

Bond

c)

CD

d)

Money Market

5.

Spreading your risk across different investment types is known as...

a)

Liquidity

b)

Hedging

c)

Risk-aversion

d)

Diversification

6.

Which of the following is the least liquid asset?

a)

Cash

b)

Checking Account

c)

Real Estate

d)

Stocks

7.

What type of account is used to pay for everyday expenses?

a)

Certificate of Deposit (CD) Account

b)

Money Market Account

c)

Interest-bearing savings account

d)

Regular checking account

8.

An investment in which you lend money to the local, state, or federal government is a...

a)

Stock

b)

Bond

c)

Money Market

d)

Certificate of Deposit

9.

Which of the following is a fixed expense?

a)

Rent

b)

Groceries

c)

Electric Bill

d)

Clothing

10.

Which of the following is a variable expense?

a)

Mortgage

b)

Rent

c)

Entertainment

d)

Car Payment

11.

Avocados are sold individually for $1/lb or $4 for 5 lb. bag. Which is a better unit price?

a)

Buying individually

b)

Buying the 5 lb bag

c)

They are the same price

12.

What type of financial aid must be paid back (with interest)?

a)

Scholarships

b)

Grants

c)

Work Study Jobs

d)

Student Loans