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| Question text: | Looking over all of the questions you just answered, how many (from 0 to 20) do you think you answered correctly?
1. Suppose you had $100 in a savings account and the interest rate was 2% per year. After 5 years, how much do you think you would have in the account if you left the money to grow: more than $102, exactly $102, less than $102? 2. Imagine that the interest rate on your savings account was 1% per year and inflation was 2% per year. After 1 year, would you be able to buy more than, exactly the same as, or less than today with the money in this account? 3. Assume a friend inherits $10,000 today and his sibling inherits $10,000 but 3 years from now. Who is richer today because of the inheritance? 4. If the interest rates rise, what should happen to bond prices? 5. Do you think the following statement is true or false? "Buying a company stock usually provides a safer return than a stock mutual fund." 6. Do you think the following statement is true or false? "Bonds are normally riskier than stocks." 7. Considering a long time period (for example 10 or 20 years), which asset described below normally gives the highest return? 8. Normally, which asset described below displays the highest fluctuations over time? 9. When an investor spreads his or her money among different assets, does the risk of losing a lot of money increase, decrease or stay the same? 10. Do you think the following statement is true or false? "If you were to invest $1000 in a stock mutual fund, it would be possible to have less than $1000 when you withdraw your money." 11. Do you think the following statement is true or false? "A stock mutual fund combines the money of many investors to buy a variety of stocks." 12. If you buy a company's stock... 13. Do you think the following statement is true or false? "'Whole life' insurance has a savings feature while 'term' insurance does not." 14. Do you think the following statement is true or false? "The cash value of a life insurance policy is the amount available if you surrender your life insurance policy while you're still alive." 15. Do you think the following statement is true or false? "An annuity is a financial product that pays a lump sum when you die." 16. Do you think the following statement is true or false? "There are annual contribution limits on the amount you can save in a 401(k) plan or IRA that depend on your income." 17. Do you think the following statement is true or false? "After age 70 1/2, you have to withdraw at least some money from your 401(k) plan or IRA." 18. Do you think the following statement is true or false? "A 15-year mortgage typically requires higher monthly payments than a 30-year mortgage, but the total interest paid over the life of the loan will be less." 19. Do you think the following statement is true or false? "Housing prices in the US can never go down." 20. Suppose you owe $3,000 on your credit card. You pay a minimum payment of $30 each month. At an Annual Percentage Rate of 12% (or 1% per month), how many years would it take to eliminate your credit card debt if you made no additional new charges? |
| Answer type: | Range |
| Label: | how many correct |
| Empty allowed: | |
| Error allowed: | |
| Multiple instances: | No |