WorksheetsInvestments Lessons 1 and 2 Grade 11
Total questions: 30
Worksheet time: 15mins
Money left after all expenses are paid
savings
investments
The use of income today that allows for a future benefit
saving
investment
S&L, commercial banks, and credit unions are banking financial intermediaries because they
open saving and checking accounts
provide loans
the fastest multipurpose loans at a higher than average interest rate are provided by
finance companies
insurance companies
credit unions
What makes financial assets of the bank?
saving accounts
loans
You invest into the comapany that earns by investing in many stocks and bonds
mutual fund
finance company
Which financial intermediary is envolved in saving money for retirement?
pension funds
insurance companies
Investments into assets less than 1 year
money market
capital market
Buying assets directly from the emitent
primarily market
secondary market
Earning money on principal and previously earned interest rate
simple interest
compound interest
Earning money on principal alone
simple interest
compound interest
Money on saving and checking accounts are resources bank us for loans
yes
no
Finance companies use funds of clients to provide loans
yes
no
If you want to secure yourself from risks of disability you should purchase a
police in insurance company
police in pension fund
Nonbanking financial intermediaries earn money by
investing in stocks
investing in bonds
providing loans
opening saving accounts
Saving accounts are expensive resources
yes
no
Borrower looks for the ____ interest rate
highest
lowest
Investor looks for the ____ interest rate
highest
lowest
CDs, stocks, and bonds are
economical investments
personal investments
Your financial goals are your
objectives
subjectives
The lowest risk of loss have
stocks
governmental bonds
As higher risk as
higher are potential returns
lower are potential returns
Government or state bonds are considered risk free, and you don't need to pay income tax
yes
no
You can lose purchasing power of your investments because of
bankrupsy
inflation
You can lose your principal because of bankrupsy of the bank
yes
no
Possibility of loss
risk
returns
Before investing, you should thik about your income and time
yes
no
Calculating amount of saving available for investments, you should always subtract money for "emergency"
yes
no
Stocks and corporate bonds are considered risk free
yes
no
Stocks and bonds can be resold many times
yes
no
