WISE Test Review #1

Front

The Rule of 72 is an easy way to

Back

Calculate how fast your savings will double in value at given interest rates.

Front

What is the correct difference between simple and compounding interest?

Back

Simple interest is paid on the principal only and compounding interest is paid on the principal and the interest earned.

Front

Which of the following would yield the highest earnings when interest is compounded? Daily, Semi-annually, Bi-annually, Annually

Back

Daily

Front

Apple is offering a fixed interest bond to its customers, the role of the customer is best defined as

Back

The customer is lending money to apple to be repaid after the bond "matures"

Front

Which loan is NEVER forgiven with any type of bankruptcy?
Options:
Car Loan,
Mortgage Loan,
Student Loan,
Payday Loans

Back

Student Loan

Front

How many days notice do credit card companies have to give if they are changing your interest rate due to multiple late payments?

Back

45 days

Front

Which classification of stock would be defined as big, established companies like Amazon & Google? Options: Blue Chip Stocks, Growth Stocks, Income Stocks, Speculative Stocks

Back

Blue Chip Stocks

Front

The quote "don't put all your eggs in one basket" refers to what investing term?

Back

Diversification

Front

A 401k is best described as

Back

a company provided retirement account

Front

a 529 savings plan is specifically for what

Back

College