Review Game Zone
Flash Cards
(current)
Games
Teachers
Search
PF 8.01
Test Description: 8.01 questions and vocab
Instructions: Answer all questions to get your test result.
1) How are saving and investing different?
A
The interest earnings from investments are usually fixed, while earnings from savings are more chang
B
When money is invested, it is easier to take out than when put into savings.
C
The main purpose of saving is to have money on hand when needs come up, but investing is to earn pro
D
The main focus of saving is earning interest, but earning interest is not a focus of investing.
2) Avery is self-employed and does seasonal work, so there are times when he cannot pay all his bills and still set aside money for savings. This is an example of which reason indivi
A
Depending too heavily on his insurance
B
Not being aware of what major future purchases will cost
C
Inability to pay current expenses
D
Depending too much on credit
3) Sheila earns $200 a week. She spends $140 on school expenses, puts $40 in her piggy bank, and uses $20 toward the purchase of bonds. Which rule of saving and investing is this?
A
“Pay yourself first” Rule of Saving
B
Rule of 72
C
Rule of 70-20-10
D
Saving and Investing Rule
4) Kyle bought preferred blue chip stocks and his sister Kitty bought common growth stocks. Which statement about Kyle and Kitty is TRUE?
A
Kyle’s investment would more likely be lost if the company were to have financial difficulties.
B
Kitty will receive a fixed dividend each month; Kyle will not.
C
Kyle probably paid less for his shares of stock than Kitty.
D
Kitty is taking a greater risk than Kyle.
5) Calvin wants to invest his money in a way that he will not be tempted to withdraw and spend it. Which would MOST LIKELY be the best option for Calvin?
A
Piggy bank
B
Certificate of deposit
C
Savings account
D
Money market account
6) What is interest?
A
A certificate of deposit stating money has been deposited for a specific time
B
Stock with fixed dividends, less risk
C
Money paid for the use of someone else’s money over a period of time
D
Stock in a public corporation; returns vary, but higher risk
7) What is a CD?
A
Money paid for the use of someone else’s money over a period of time
B
Stock with fixed dividends, less risk
C
Stock in a public corporation; returns vary, but higher risk
D
A certificate of deposit stating money has been deposited for a specific time
8) What is preferred stock?
A
A savings account in which deposits are invested to yield additional earnings
B
Stock in a public corporation; returns vary, but higher risk
C
Stock with fixed dividends, less risk
D
Stock that costs less than $1 per share; extremely high risk
9) What is common stock?
A
Stock with fixed dividends, less risk
B
A savings account in which deposits are invested to yield additional earnings
C
Stock that costs less than $1 per share; extremely high risk
D
Stock in a public corporation; returns vary, but higher risk
10) What is a Roth IRA
A
An Individual Retirement Account used to save money for retirement
B
A share of ownership and interest in the assets and earnings of a company
C
Stock with fixed dividends, less risk
D
A personal savings plan; contributions are not tax-deductible; earnings are tax-free
*select an answer for all questions
Check Results & Get Answers
Play Games with the Questions Above
Teachers: Create FREE classroom games with your questions
Click for more info!
©2007-2024
ReviewGameZone.com
|
About
|
Privacy
|
Contact
|
Terms
|
Site Map
WAIT! Find what you needed?
×
Still Looking for the Answers?
Have Another Question?
Play a Review Game with These Questions?
Want to Make Your Own Test Like This One?