Investment Vocab Quiz

Quiz
•
Mathematics
•
9th Grade
•
Hard
+7
Standards-aligned
Brandi Dabbs
FREE Resource
15 questions
Show all answers
1.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Which of the following statements is TRUE about compound interest?
Compound interest is difficult to calculate, so those who use it earn higher profits for their efforts
Compound interest means you have a fund manager who is compounding your returns without charging a fee
Compound interest earns you more interest than simple interest
Compound interest directly impacts how much you will be charged in fees
Tags
CCSS.HSF.IF.B.4
CCSS.HSF.LE.A.1
CCSS.HSF.LE.A.2
CCSS.HSF.LE.A.3
2.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Daniel is going to put $2,000 in a savings account that earns 0.5% interest annually for 3 years. How much more money would he have had if he invested in a high interest savings account at 8% interest compounded monthly for the same 3 years?
He would make less money
He would make more money
The ending balance would be the same
Not enough information
Tags
CCSS.HSA.CED.A.1
CCSS.HSA.SSE.A.1
3.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
You bought 10 shares of stock in StreamingVideoCo for $45 per share. Two months later you sold the 10 shares of stock for $80 per share. What was the result?
Made money
Lost money
Broke even
Not enough information
Tags
CCSS.7.EE.B.3
CCSS.7.NS.A.1
CCSS.7.NS.A.3
4.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
How is a bond different from a stock?
A bond is a loan you give to an organization while a stock is partial ownership in a company
Bonds are typically riskier than stocks but have the potential to earn higher returns
Bonds are usually issued by smaller startup companies while stocks are issued by well-established organizations
Bonds are best for earning high returns while stocks are best for providing a stable source of income
5.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
How can someone make money from investing in a stock?
Always sell the stock for a lower price than what they bought it for
Always sell the stock for more money than you bought it for
The stock will always lose value; so do not ever invest in stocks
Always sell the stock for the same price they bought it for
6.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
You are a public-school teacher, and you invest in a tax-deferred account offered by your employer. Which investment is this?
401k
403b
Roth IRA
7.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Your friend Jai is an engineer who set up a retirement account with automatic income investment and company match. What is this account?
Roth IRA
401k
Stocks
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