wayground logo

Free Printable Worksheets

NEW

Font size

S
M
L
XL
Worksheets

Introduction to Investments

Total questions: 11

Worksheet time: 11mins

Name
Class
Date
1.

Investment is the act of committing money or capital to an endeavor with the expectation of obtaining an additional income or profit.

a)

True

b)

False

2.

It is an asset or item that is purchased with the hope that it will generate income or will appreciate in the future.

a)

Securities

b)

Investment

c)

Machinery and Equipment

d)

Furnitures and Fixtures

3.

Stocks, real estate property, constructed building, and other facility

are under what type of asset?

a)

Securities

b)

Investment

c)

Machinery and Equipment

d)

Furnitures and Fixtures

4.

These are the money placed into a banking institution for safe keeping.

a)

Bank Deposits

b)

Mutual Funds

c)

Insurance

d)

Currencies

5.

These are the generally accepted form of money, including coins and paper notes, which is issued by a government and circulated

within an economy (i.e. USD, EUR, JPY).

a)

Bank Deposits

b)

Mutual Funds

c)

Insurance

d)

Currencies

6.

Which of the following is a disadvantage of Unit Investment Trust Fund (UITF)?

a)

Gives small investors access

to portfolios of equities, bonds

and other securities,

b)

Easier access because clients can open an account in any branch of the bank near them

c)

No shareholder rights for investors such as dividends and voting rights

d)

No entry and management fees

7.

Which of the following true about investment risk?

a)

Each investment type inherits risk which cannot

be lessened.

b)

Only few investment types inherit risk which cannot be lessened.

c)

Each investment type inherits risk which can

be lessened.

d)

Only few investment types inherit risk which can be lessened.

8.

It refers to the interest or dividend return received from a security

based on the investments cost or face value.

a)

Margin Account

b)

Capital Asset

c)

Index

d)

Yield

9.

It is an account that allows you to borrow money from your brokerage account

in order to purchase securities where the loan is collateralized

by the existing securities and cash held in the account.

a)

Margin Account

b)

Capital Asset

c)

Index

d)

Yield

10.

Which of the following is the advantage of stocks as an equity type of investment?

a)

No guaranteed returns

b)

Unlimited upside

c)

Riskiest of all assets

d)

Can lose more than half of your money in just one day

11.

An entity expanded their land for their customer's convenient parking space.

This investment will fall under __________.

a)

Currencies

b)

Commodities

c)

Insurance

d)

Real Estate