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WorksheetsInvesting- Dave Ramsey
Total questions: 24
Worksheet time: 12mins
What is the 5th foundation?
build wealth and give
pay cash for a car
pay cash for college
save for retirement
A security that represents part ownership of a company
bond
stock
CD
Annuity
When you are investing in a mutual fund, you are contributing to a pool of money that will be..
given to hundreds of charities in your area
invested in a mix of stocks and bonds
taxed based on each individual investor's annual salary
put into a separate savings account for your children to inherit
diversification reduces your ________
income
retirement funds
risk
mutual funds
_______ is the process of figuring out how much money you will need in retirement and creating a plan to get there
investment banking
outrageous generosity
retirement planning
retirement accounting
investing your money earns you more money because of
checking accounts
mortgage payments
compound growth
short-term savings
Roth IRA, 401(k), 403(b), 457 and SEP are all examples of
tax forms
mutual funds
retirement plans
investment bankers
CD and money market accounts are both examples of investments with _______ risk and ______ returns
low; low
low; high
high; high
high; low
mutual funds are less risky and can outperform the stock market because...
they are not diversified
they guarantee a high rate of return
they are fully liquid
they invest in several companies at once
the three components of compound growth are money, time and _______
a large paycheck
retirement
investments
rate of return
never invest your money in _______ because they are very risky.
CDs
mutual funds
single stocks
real estate
______ is the key when it comes to compound growth.
time
money
attitude
Roth IRA
usually the more liquid an asset, the less return you can expect.
True
False
when using a Roth IRA, you invest your money after paying taxes so the investment grows tax-free.
True
False
a legal document listing how a person wants their assets distributed after their death
will
portfolio
diversification
beneficiary
a distribution of net profits of a company to its shareholders
investing
stock
dividend
liquid asset
the practice of dividing the money a person invests among different types of investments in order to lower risk
portfolio
diversification
stock market
multual fund
a retirement savings plan offered by an employer to its employees who contribute money from their gross pay
IRA
Roth IRA
mutual fund
401(k)
a financial market that trades shares of ownership of public companies
IRA
mutual fund
liquid asset
stock market
measuring the gain or loss on an investment relative to the amount of money invested
investing
return on investment
liquid asset
portfolio
refers to the monetary gain or loss of an investment over time
ROY
IRA
IRO
ROI
Dave says long term investments need to be at least ___ years
7
10
5
15
when your investments are well diversified, your risk level is _______
high
low
aggressive
moderate
which of the following retirement plans often come with employer matching?
Roth IRA
401(k)
traditional IRA
annuities
