This quiz works best with JavaScript enabled. Home > Economics > Saving > Investing > Saving And Investing – Quiz 3 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Saving And Investing Quiz 3 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. How much people want a certain product is called A) Need. B) Want. C) Demand. D) Supply. Show Answer Correct Answer: C) Demand. 2. How much would $ 10, 000 on deposit at a five percent annual simple interest rate for three years earn? A) $ 2, 576.25. B) $ 1, 500. C) $ 1, 250. D) $ 1, 576.25. Show Answer Correct Answer: B) $ 1, 500. 3. How many years will it take to double your money with a 3% interest rate? A) 24 years. B) 12 years. C) 4 years. D) None of these. Show Answer Correct Answer: A) 24 years. 4. Identify the investment:-pools similar stocks together-the most popular type of investment-safer than investing in individual stocks A) Commodities. B) Bonds. C) Real estate. D) Mutual funds. Show Answer Correct Answer: D) Mutual funds. 5. People buy insurance because of ..... A) The risk. B) The law. C) Its what everybody does. D) None of above. Show Answer Correct Answer: A) The risk. 6. Employer sponsored tax deferred retirement account (employer matching)-Defined Contribution A) Traditional IRA. B) Roth IRA. C) 401(k)/403(b)/457. D) None of above. Show Answer Correct Answer: C) 401(k)/403(b)/457. 7. Which of the following savings or investing tools would go with "Capital Growth" ? A) Stocks. B) Insurance. C) Certificate of deposit. D) Real estate. Show Answer Correct Answer: D) Real estate. 8. Savings accounts are ....., which means you can access your money quickly. A) Risky. B) Safe. C) Liquid. D) None of above. Show Answer Correct Answer: C) Liquid. 9. The Rule of 72 is an easy way to determine A) The annual percentage rate on your savings. B) The annual rate of return on your investment. C) How long it will take your money to double using compound interest. D) How long it will take to get out of debt. Show Answer Correct Answer: C) How long it will take your money to double using compound interest. 10. A regular savings account ..... A) Pays the lowest rate of interest of all savings accounts. B) Requires that money be deposited for a set amount of time. C) Pays a slightly higher interest rate than other savings plans. D) Is available only through a credit union. Show Answer Correct Answer: A) Pays the lowest rate of interest of all savings accounts. 11. A(n) ..... is a tax-deferred retirement plan offered by employers. Sometimes, employers will even match the contributions of employees up to a certain percentage. A) 401k. B) Traditional IRA. C) Roth IRA. D) Money Market Account. Show Answer Correct Answer: A) 401k. 12. When saving or investing, the principal is the A) Original amount of money deposited for investing. B) Amount of money paid out of the earnings. C) Primary investor in the account. D) Owner of the account. Show Answer Correct Answer: A) Original amount of money deposited for investing. 13. Which of the following investments signifies ownership in a corporation? A) Bonds. B) Commodities. C) Real estate. D) Stocks. Show Answer Correct Answer: D) Stocks. 14. Which of the following savings or investing tools would go with "Income" ? A) Certificate of deposit. B) Real estate. C) Stocks. D) Insurance. Show Answer Correct Answer: A) Certificate of deposit. 15. If you work for $ 9.00 an hour, you earn a/an A) Salary. B) Wage. C) Not enough. D) Minimum Wage. Show Answer Correct Answer: B) Wage. 16. If you wanted to earn the greatest amount of interest on your deposits, which kind of account should you choose? A) A credit card account. B) A certificate of deposit. C) A checking account. D) A savings account. Show Answer Correct Answer: B) A certificate of deposit. 17. Kayla is considering whether to open a savings account or buy stock. Her financial advisor tells her that investing involves ....., but he will help her money grow and help her make safe financial decisions. A) A down payment. B) Risk. C) Taxes. D) None of above. Show Answer Correct Answer: B) Risk. 18. This type of investment is essentially an IOU with a set rate of return.. A) Bond. B) Certificate of deposit. C) Stock. D) Money market account. Show Answer Correct Answer: A) Bond. 19. Where would you go to open up a savings account, certificate of deposit, or money market account? A) Bank or credit union. B) Insurance agent. C) Stockbroker. D) Real estate agent. Show Answer Correct Answer: A) Bank or credit union. 20. The price of money. A) Risk. B) Interest. C) Savings. D) Return. Show Answer Correct Answer: B) Interest. 21. A great rule of thumb is to A) Pay your bills first. B) Pay yourself first. C) Start saving and investing when you turn 30. D) Save all the money left over at the end of the month. Show Answer Correct Answer: B) Pay yourself first. 22. Which of the following would cause your credit score to increase? A) Opening many new credit cards at once. B) Maxing out your credit cards. C) Using a debit card. D) Making monthly payments on time. Show Answer Correct Answer: D) Making monthly payments on time. 23. Property of some type to either rent out or sell at a higher price. A) Bond. B) Annuity. C) Real estate. D) Apartment. Show Answer Correct Answer: C) Real estate. 24. Withdrawal from an occupation, investing money during active working life for financial support A) Stock market. B) IRA. C) Risk. D) Retirement. Show Answer Correct Answer: D) Retirement. 25. A unit of ownership in a corporation is A) Bond. B) Note. C) A share of stock. D) A dividend. Show Answer Correct Answer: C) A share of stock. 26. If an emergency were to happen you would want your assets to be as ..... as possible. A) Liquid. B) Fluid. C) Stable. D) Solid. Show Answer Correct Answer: A) Liquid. 27. You plan to buy 5 shares of Facebook at $ 147.19. You will sell them when you finish college in 4 years. In 2021, a share of Facebook stock is valued at $ 163.87. How much did you gain or lose? A) Gained $ 16.68. B) Lost $ 16.68. C) Gained $ 83.40. D) Lost $ 83.40. Show Answer Correct Answer: C) Gained $ 83.40. 28. ..... ..... is a mathematical explosion that you must start now. A) Investment savings. B) Compound interest. C) Analytic geomitry. D) Interest rate. Show Answer Correct Answer: B) Compound interest. 29. An account at a depository institution that usually has minimum balance requirements and tiered interest rates A) Depository institution. B) Checking account. C) Money market deposit account. D) Savings account. Show Answer Correct Answer: C) Money market deposit account. 30. What are the elements of the simple interest formula A) Principal, interest, rate. B) Rate, time, interest. C) Principal, interest rate, time. D) None of above. Show Answer Correct Answer: C) Principal, interest rate, time. ← PreviousNext →Related QuizzesSaving QuizzesEconomics QuizzesSaving And Investing Quiz 1Saving And Investing Quiz 2Saving And Investing Quiz 4Saving And Investing Quiz 5Saving And Investing Quiz 6Saving And Investing Quiz 7Saving And Investing Quiz 8Saving And Investing Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books