Question

If you get into financial trouble, borrowing against your retirement plan is a good option.
False
True
Good investment portfolios are extremely complex.
False
True
A savings plan operated by a state or educational institution designed to help families set aside funds for future college costs
Guaranteed Investment Contract
529 Plan
Single stocks and mutual funds carry the same amount of risk.
False
True
A reason that people need to save and invest is to:
Enable their money to make money
Have an opportunity to talk with financial service providers
Be able to get anything they want
Increase the money supply
A young investor willing to take moderate risk for above-average growth would be most interested in:
Real estate
Mutual funds
Bonds
Single stocks
Employee benefits packages:
Are non-wage compensations provided to employees in addition to their normal wages or salaries
Never include retirement plans
Are the same regardless of the company you work for
Should not be a consideration when looking for a job
The government agency responsible for regulating the stock market
Securities exchange commission
Federal reserve
Which statement is false about liquidity?
Both A and B
The more liquid an investment, the less return
The less liquid the investment, the less return
The more liquid an investment, the more return
Distribution of a portion of a company’s earnings, decided by the board of directors, to a class of its shareholders
Dividend
Interest

Answer 1

1. If you get into financial trouble, borrowing against your retirement plan is a good option.
False

2. Good investment portfolios are extremely complex.
False

3. A savings plan operated by a state or educational institution designed to help families set aside funds for future college costs
529 Plan

4. Single stocks and mutual funds carry the same amount of risk.
False

5. A reason that people need to save and invest is to:
Enable their money to make money

6. A young investor willing to take moderate risk for above-average growth would be most interested in:
Mutual funds

7. Employee benefits packages:
Are non-wage compensations provided to employees in addition to their normal wages or salaries

8. The government agency responsible for regulating the stock market
Securities and Exchange Commission (SEC)

9. Which statement is false about liquidity?
"The more liquid an investment, the more return." (This is false — more liquid investments generally offer lower returns.)

10. Distribution of a portion of a company’s earnings, decided by the board of directors, to a class of its shareholders
Dividend