Font size
WorksheetsInvesting and Finance
Total questions: 83
Worksheet time: 7mins
Rising interest rates push stock prices
up
down
When the Fed lowers interest rates, the money supply
increases
decreases
When the Fed lowers interest rates it signals investors to
buy stocks
sell stocks
The housing industry represents more than
25% of total investment
5% of total investment
10% of total investment
20% of total investment
Number of Industrial Stocks in S&P 500
400
500
40
300
250
Number of Utility Stocks in S&P 500
400
150
40
100
20
Number of Financial Stocks in S&P 500
400
150
40
100
20
Number of Transportation Stocks in S&P 500
400
150
40
100
20
Number of Corporations in NASDAQ
500
2000
3200
5700
4400
NASDAQ was first launched in
1971
1990
1945
1935
1954
Stocks that perform best during Bear Markets
Value
Defensive
Cyclical
Penny
Income
Stocks that perform best during Bull Markets
Value
Defensive
Cyclical
Growth
Income
Stocks that are strongly tied to the Business Cycle
Value
Defensive
Cyclical
Growth
Income
Shrinking dividends may indicate
plans for expansion
trouble ahead
It’s a good idea to start your investing career by looking at companies with at least
5 million shares outstanding
50 million shares outstanding
25 million shares outstanding
1 million shares outstanding
100 million shares outstanding
High-yield Bonds
Mortgage-Backed Securities
Municipal
Corporate
Junk
Treasury Securities
Good hedges against interest-rate fluctuations
Mortgage-Backed Securities
Municipal
Corporate
Junk
Treasury Securities
Bonds priced in multiples of 5k
Mortgage-Backed Securities
Municipal
Corporate
Junk
Treasury Securities
Bonds priced in multiples of either 1k or 5k
Mortgage-Backed Securities
Municipal
Corporate
Junk
Treasury Securities
Pay higher yields than other bonds
Mortgage-Backed Securities
Municipal
Corporate
Junk
Treasury Securities
Bond taxable at both Federal and State level
Mortgage-Backed Securities
Municipal
Corporate
Junk
Treasury Securities
Buy bonds when interest rates are
high
low
Good bond rating
AAA
AA
BBB
BB
B
Decent bond rating
AAA
AA
BBB
BB
B
Retirement plan for government workers
457 plan
IRA
Roth IRA
401(k)
HSA
Contribution cap for IRA's
5.5k
5k
4k
4.5k
10k
You can't take out any money until you're 59 ½
457 plan
IRA
Roth IRA
401(k)
HSA
Income made from the sale of property and other assets
Long-Term Capital Gains
Earned Income
Passive Income
Investment income
Ordinary Income
Income from your pension plan, 401(k), registered retirement savings, etc.
Long-Term Capital Gains
Earned Income
Passive Income
Investment income
Ordinary Income
Income from dividends, rents, and business.
Long-Term Capital Gains
Earned Income
Passive Income
Investment income
Ordinary Income
Income from a paycheck.
Long-Term Capital Gains
Earned Income
Passive Income
Investment income
Ordinary Income
Income from capital gains, interest, and dividends.
Long-Term Capital Gains
Earned Income
Passive Income
Investment income
Ordinary Income
Taxed at the highest rate possible
Long-Term Capital Gains
Earned Income
Passive Income
Investment income
Ordinary Income
Tax credits are essentially a financial
reward
penalty
A reward for increasing the population of the country
Family Credits
Education Credits
Working-Poor Credits
Charity Credits
Investment Tax Credits
Help you offset the cost of tuition
Family Credits
Education Credits
Working-Poor Credits
Charity Credits
Investment Tax Credits
Include the earned income credits and credits for helping the working poor
Family Credits
Education Credits
Working-Poor Credits
Charity Credits
Investment Tax Credits
The biggest tax credits of all
Family Credits
Education Credits
Working-Poor Credits
Charity Credits
Investment Tax Credits
Wages and incomes above about $129k are
Only subject to income taxes and Medicare taxes
Only subject to Social Security and Medicare taxes
Only subject to income taxes
Only subject to Social Security Taxes
Subject to Social Security, Medicare, and income taxes
For your primary business, you want to be taxed as
S Corporation
C Corporation
LLC
LP
Use this to own assets you want to transfer to your children
S Corporation
C Corporation
LLC
LP
If you plan on buying and selling real estate quickly, use
S Corporation
C Corporation
LLC
LP
Taxed as partnerships
S Corporation
C Corporation
LLC
LP
Use to own your real estate investment properties
S Corporation
C Corporation
LLC
LP
The best type of corporation to protect your business and investment assets from lawsuits
S Corporation
C Corporation
LLC
LP
The maximum amount of your monthly income that you should spend on rent or mortgage payments
30%
50%
25%
10%
60%
The minimum amount of your monthly income that you should save each month
15%
10%
20%
30%
5%
Number of companies in the DOW index
30
100
500
25
50
Index based on the 500 largest US companies traded on the NYSE
S&P 500
DOW Industrial
CRSP
MSCI
Wilshire
Index based on the 30 largest US companies traded on the NYSE
S&P 500
DOW Industrial
CRSP
MSCI
Wilshire
Index that represents nearly 100% of the US stock market
S&P 500
DOW Industrial
CRSP
MSCI
Wilshire
Index of stocks based on emerging economies
S&P 500
DOW Industrial
CRSP
MSCI
Wilshire
Recommended stock to bond to cash ratio
50% stocks, 30% bonds, 20% cash
70% stocks, 30% bonds, 0% cash
50% stocks, 50% bonds, 0% cash
40% stocks, 40% bonds, 20% cash
80% stocks, 10% bonds, 10% cash
Money in this type of account grows tax-free for life
457 plan
IRA
Roth IRA
401(k)
HSA
You can withdraw the money you've contributed at any time without paying the 10% penalty
457 plan
IRA
Roth IRA
401(k)
HSA
Lenders like to see a debt-to-income ratio that doesn't exceed
36%
27%
18%
10%
50%
You'll be required to buy Private Mortgage Insurance (PMI), if you make a down payment of less than
20%
10%
15%
5%
25%
Loan that allows you to make a down payment of as little as 3.5%
FHA
Fannie Mae
CRA
USDA
PMI
Loan that allows you to make a down payment of as little as 3%
FHA
Fannie Mae
CRA
USDA
PMI
No income limits for borrowers
FHA
Fannie Mae
CRA
USDA
PMI
Loan amounts are capped at $625,500
FHA
Fannie Mae
CRA
USDA
PMI
Created by Congress to help low-income people buy homes
FHA
Fannie Mae
CRA
USDA
PMI
Loan for people who want to live in a rural area
FHA
Fannie Mae
CRA
USDA
PMI
The typical commission for a realtor
3% home price
6% home price
2% home price
5% home price
The amount of your earned income that goes to paying Social Security taxes
6.2%
7.65%
5.8%
15.3%
1.45%
The amount of your income that goes to paying Social Security and Medicare taxes if you're self-employed
6.2%
7.65%
5.8%
15.3%
1.45%
The amount that your employer contributes to Social Security and Medicare
6.2%
7.65%
5.8%
15.3%
1.45%
The amount of your income that goes to Medicare taxes
6.2%
7.65%
5.8%
15.3%
1.45%
The amount of your income that goes to Social Security and Medicare taxes
6.2%
7.65%
5.8%
15.3%
1.45%
You like won't have to pay long-term capital gains taxes if your tax bracket is
15% or lower
10% or lower
28% or lower
33% or lower
35% or lower
Form that shows your gross wages and the amount of tax withheld from your paycheck over the past year
W-2
1099
4868
1040
W-9
A U.S. citizen or resident files this form to request an automatic extension of time to file a U.S. individual income tax return
W-2
1099
4868
1040
W-9
Form from your bank/mutual fund that lists the interest, dividends, and capital gains you earned during the year
W-2
1099
4868
1040
W-9
Used to request a taxpayer identification number
W-2
1099
4868
1040
W-9
Calculates the total taxable income of the taxpayer and determines how much is to be paid or refunded by the government
W-2
1099
4868
1040
W-9
You can do your taxes for free at irs.gov/freefile if your income is
$64k or less
$75k or less
$53k or less
$47k or less
$38k or less
If you're single and have no children, you are allowed
one personal exemption
two personal exemptions
no personal exemptions
To encourage people to buy homes, the government allows taxpayers to deduct
the interest paid on their mortgages
the principal paid on their mortgages
the interest and principal paid on their mortgages
Regarding student loans, you can deduct
the interest payments
the principal payments
the interest and principal payments
These reduce your taxable income
Tax Deductions
Tax Credits
Reductions in the tax you owe
Tax Deductions
Tax Credits
Shows how much interest and principal you paid on your mortgage
1095
1099
4868
1040
1098
Shows that you and your family had health insurance during that year
1095
1099
4868
1040
1098
