Module 152: Types Of Low-Risk Investments Question Preview (ID: 26120)


Module 152: Types Of Low-Risk Investments. TEACHERS: click here for quick copy question ID numbers.

Which is considered to be a Low risk investment
a) Stocks
b) Bonds , CD, Mutual Funds
c) cars
d) houses

are the most risky type of investment, but have the potential for the most gain
a) Stocks
b) Bonds
c) CD
d) Mutual Funds

The longer the term, the _________the interest rate will be
a) Stocks
b) higher
c) CD
d) Lower

They are not very liquid since you cannot take out money when you want. and must pay a penalty for early withdrawal.
a) higher
b) 50
c) CD
d) Bond

Series EE bonds are sold by the U.S. ______- to the public
a) Liquidity
b) higher
c) Treasury
d) Stocks

$100 EE bond will cost you _______
a) 60
b) 50
c) 100
d) 150

You must invest a certain amount, have to pay taxes on interest earned, and have to pay a penalty for early withdrawal.
a) Mutual funds
b) EE Bonds
c) Certificates of Deposit
d) Treasury

refers to how quickly an investment can be turn into cash
a) Treasury
b) CD
c) higher
d) Liquidity

are a mix of stocks, bonds, and other securities, money market mutual funds are more low risk
a) EE Bonds
b) Mutual funds
c) Treasury
d) Stocks

Another name for stocks are called
a) Mutual Funds
b) Stocks
c) CD
d) Securities

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