This quiz works best with JavaScript enabled. Home > Saving > Investing > Saving And Investing – Quiz 20 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Saving And Investing Quiz 20 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Which example is an investment commodity? A) A rare painting. B) Shares in a company. C) Microfinancing. D) Steel. Show Answer Correct Answer: D) Steel. 2. Which of the following is a correct statement about mutual funds? A) It is made up of a pool of funds collected from many investors. B) It is managed by investors. C) It is more risky than individual stocks and bonds. D) It puts assets together into one sercurity. Show Answer Correct Answer: A) It is made up of a pool of funds collected from many investors. 3. Person or firm that charges a fee or commission for executing buy and sell orders submitted by an investor. A) Financial adviser. B) Broker. C) Principal. D) None of above. Show Answer Correct Answer: B) Broker. 4. This is a person that is a go between for stock buyers and sellers. A) Banker. B) Broker. C) Investor. D) Buyer. Show Answer Correct Answer: B) Broker. 5. All of the following are ways to earn money as a stockholder EXCEPT: A) Getting dividends. B) Selling the stock at a higher value. C) Stock splits. D) Selling the stock at a lower value. Show Answer Correct Answer: D) Selling the stock at a lower value. 6. A physical substance, such as food, grains, ad metals, which is purchased with the idea that it can be sold at a future date at a much higher price. A) Dividends. B) Collectibles. C) Liabilities. D) Commodities. Show Answer Correct Answer: D) Commodities. 7. Pool of money managed by an investment company/ professional and invested in multiple companies. A) Stock Market. B) Mutual Fund. C) Investment. D) Money Market Account. Show Answer Correct Answer: B) Mutual Fund. 8. A comparison of interest rates charged by different credit cards is best done by comparing the A) Discounted present value. B) Compound rate of return. C) Annual percentage yield (APY). D) Annual percentage rate (APR). Show Answer Correct Answer: D) Annual percentage rate (APR). 9. Identify the investment:-insured by the FDIC-lowest interest rate of all investments-in most cases, you can make up to 3 withdrawals per month A) Money market. B) Traditional savings accounts. C) ETFs. D) CDs. Show Answer Correct Answer: B) Traditional savings accounts. 10. A savings tool purchased for 50% of the face value from the government is a A) Certificate of Deposit (CD). B) Savings Bond. C) Checking Account. D) Savings Account. Show Answer Correct Answer: B) Savings Bond. 11. Which of the following is NOT a purpose of investing money as stated in the segment A) To make money. B) To beat inflation. C) To obtain high interest rates. D) To guarantee future financial stability. Show Answer Correct Answer: C) To obtain high interest rates. 12. Which of the following is NOT a recommended strategy when investing in stocks? A) Avoid investing solely in individual stocks. B) Sell your stocks when the market is going down. C) Hold onto your stocks, and don't sell them even when the market goes down. D) Buy when the price is low. Show Answer Correct Answer: B) Sell your stocks when the market is going down. 13. Savings is best defined as the: A) Amount remaining after current wants and needs have been satisfied. B) Investment opportunities which yield a high interest rate. C) Portion of current income not spent on consumption. D) Purchase of assets with the goal of increasing future income. Show Answer Correct Answer: C) Portion of current income not spent on consumption. 14. Which of the following is NOT a type of savings account? A) Money market account. B) Mutual fund. C) Certificate of deposit. D) Traditional savings account. Show Answer Correct Answer: B) Mutual fund. 15. Corps and governments can sell these and must be repaid at maturity date A) Mutual funds. B) Bonds. C) Stock. D) IRA. Show Answer Correct Answer: B) Bonds. 16. Which of the following is NOT a common reason that teens today are saving their money? A) Saving for a car. B) Saving for retirement. C) Saving for college. D) Saving for a trip at graduation. Show Answer Correct Answer: B) Saving for retirement. 17. The danger that money won't be worth as much in the future as it is today A) Inflation risk. B) Inflation. C) Bond. D) Rent. Show Answer Correct Answer: A) Inflation risk. 18. A share of ownership in a company A) Stock. B) Stock exchange. C) Bond. D) Return. Show Answer Correct Answer: A) Stock. 19. To put money in the bank A) Deposit. B) Withdraw. C) Overdraw. D) Balance. Show Answer Correct Answer: A) Deposit. 20. An entrepreneur who needs financial help in buying new equipment for her thriving bakery might take out a A) Commercial loan. B) Certificate of deposit. C) Mortgage loan. D) Consumer loan. Show Answer Correct Answer: A) Commercial loan. ← PreviousNext →Related QuizzesSaving QuizzesSaving And Investing Quiz 1Saving And Investing Quiz 2Saving And Investing Quiz 3Saving 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