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Financial Literacy Quiz

Total questions: 19

Worksheet time: 10mins

Name
Class
Date
1.

What does O.A.C stand for in financial terms?

a)

Outstanding Annual Cost

b)

Overseas Accounting Corporation

c)

Open Account Credit

d)

On Approved Credit

2.

How would you define Installment in the context of finance?

a)

A payment made to increase a debt

b)

A regular payment made to repay a debt

c)

A payment made to invest in stocks

d)

A one-time payment to settle a debt

3.

Explain the concept of Credit in financial terms.

a)

The act of giving money to someone without expecting anything in return

b)

The ability to earn money through investments

c)

The process of saving money in a bank account

d)

The ability to borrow money or access goods or services with the understanding that you'll pay later.

4.

What does the term 'Interest' mean in finance?

a)

The amount of money in a bank account

b)

The price of a stock

c)

The cost of groceries

d)

Cost of borrowing money or return on investment

5.

What is the definition of Principle in finance?

a)

Original amount of money invested or loaned

b)

The total amount of money earned from an investment

c)

The process of spreading your investments across different assets

d)

The amount of money left after all expenses have been paid

6.

In financial terms, what is a Transaction?

a)

The act of giving away goods or services for free

b)

The act of borrowing money from a bank

c)

The act of receiving a gift from a friend

d)

The act of buying or selling goods or services, or the exchange of money between two parties.

7.

Which of the following best describes Debit? A) Money owed to someone B) Money owed by someone C) Money in a savings account D) Money in a checking account

a)

C) Money in a retirement account

b)

D) Money in a credit card

c)

A) Money owed to a bank

d)

B) Money in a checking account

8.

What does O.A.C stand for? A) On Approved Credit B) Overdraft Account Charge C) Outstanding Amount Calculation D) Open Account Credit

a)

C) Outstanding Amount Calculation

b)

B) Overdraft Account Charge

c)

D

d)

A) On Approved Credit

9.

What do you call a purchase that is paid for in equal amounts over a period of time? Is it: A) Credit B) Debit C) Installment D) Interest

a)

B

b)

D

c)

A

d)

C

10.

Which of the following is a form of borrowing money? A) Debit B) Credit C) Principle D) Transaction

a)

C

b)

B

c)

D

d)

A

11.

What do you call the extra cost of borrowing money?

a)

Debit

b)

Credit

c)

Interest

d)

Installment

12.

The original amount of money borrowed or invested is known as:

a)

Debit

b)

Credit

c)

Interest

d)

Principle

13.

What is a financial event that affects the assets, liabilities, or owner's equity of a company?

a)

Debit

b)

Credit

c)

Interest

d)

Transaction

14.

In the world of finance, what does Debit refer to? A) Money owed to someone B) Money owed by someone C) Money in a savings account D) Money in a checking account

a)

A) Money owed to no one

b)

C) Money in a piggy bank

c)

D) Money under the mattress

d)

B

15.

What does O.A.C stand for in financial terms? A) On Approved Credit B) Overdraft Account Charge C) Outstanding Amount Calculation D) Open Account Credit

a)

A) On Approved Credit

b)

B) Overdraft Account Charge

c)

C) Outstanding Amount Calculation

d)

D) Open Account Credit

16.

When making a purchase and paying for it in equal amounts over a period of time, it is known as: A) Credit B) Debit C) Installment D) Interest

a)

D

b)

C

c)

A

d)

B

17.

Which of the following is a way to get money? A) Debit B) Credit C) Principle D) Transaction

a)

Debit

b)

Credit

c)

Principle

d)

Transaction

18.

What do you call the extra cost of borrowing money?

a)

Debit

b)

Credit

c)

Interest

d)

Installment

19.

What is the original amount of money borrowed or invested known as?

a)

Debit

b)

Credit

c)

Interest

d)

Principle