Name: Score:
145 Multiple choice questions
Term 1 of 145
Investors often think they do not need to evaluate a mutual fund because each fund has a __________
manager.
casual
amateur
passive
professional
Term 2 of 145
A contingent ____________ ___________ load is a 1% to 5% charge that shareholders pay when they
withdraw their investment from a mutual fund.
delayed charges
postponed fees
future expenses
deferred sales
Term 3 of 145
A defined-contribution retirement plan provides an individual __________ for each participant.
assets
ledger
journal
account
,Term 4 of 145
According to the Securities and Exchange Commission, the easiest ways to boost your retirement
savings are to take advantage of your employer's matching some or all of your __________ to the
retirement plan, focus on low fees and expenses, and save by regular, automatic deductions from
your paycheck.
effectiveness
contributions
inflation
progress
Term 5 of 145
True or false: It is mandatory to start saving a large amount very early because retirement will be
expensive.
three
true
professional
false
Term 6 of 145
The contribution Billy Foster's employer makes to his retirement plan depends on the profits of
the company. What type of retirement plan does Billy have?
stock bonus plan
keogh plan
profit sharing plan
401k plan
,Term 7 of 145
he three general types of mutual funds are ___________-end, ___________-traded, and open-end
funds.
public offering
open market
closed exchange
private auction
Term 8 of 145
Eric Patterson earns $88,000 a year. His monthly expenses total $4,900. What is the minimum
amount of money that he should set aside in an emergency fund?
4900 X 3 (minimum)
$14700
$25200
$8400
$15000
Term 9 of 145
Sources of retirement income include Social Security, other public _________ plans, employer
pension plans, personal retirement plans, and _________
pension annuities
revenue bonds
operating leases
contributions
, Term 10 of 145
The education IRA is also called the Blank______.
Coverdell education savings account
Pension fund
Roth ira
529 college savings plan
Term 11 of 145
A _______ is a fund whose shares are issued by an investment company only when the fund is
organized. only a certain number of shares are available to investors
shares are purchased on the stock exchange
closed end fund
index fund
money market fund
hedge fund
Term 12 of 145
If you work for a nonprofit or the government, you can take advantage of tax-sheltered plans,
such as Section 457 and 403(b) plans, which lower your taxable ____________ by the amount of your
annual contribution.
assets
savings
expenses
income
145 Multiple choice questions
Term 1 of 145
Investors often think they do not need to evaluate a mutual fund because each fund has a __________
manager.
casual
amateur
passive
professional
Term 2 of 145
A contingent ____________ ___________ load is a 1% to 5% charge that shareholders pay when they
withdraw their investment from a mutual fund.
delayed charges
postponed fees
future expenses
deferred sales
Term 3 of 145
A defined-contribution retirement plan provides an individual __________ for each participant.
assets
ledger
journal
account
,Term 4 of 145
According to the Securities and Exchange Commission, the easiest ways to boost your retirement
savings are to take advantage of your employer's matching some or all of your __________ to the
retirement plan, focus on low fees and expenses, and save by regular, automatic deductions from
your paycheck.
effectiveness
contributions
inflation
progress
Term 5 of 145
True or false: It is mandatory to start saving a large amount very early because retirement will be
expensive.
three
true
professional
false
Term 6 of 145
The contribution Billy Foster's employer makes to his retirement plan depends on the profits of
the company. What type of retirement plan does Billy have?
stock bonus plan
keogh plan
profit sharing plan
401k plan
,Term 7 of 145
he three general types of mutual funds are ___________-end, ___________-traded, and open-end
funds.
public offering
open market
closed exchange
private auction
Term 8 of 145
Eric Patterson earns $88,000 a year. His monthly expenses total $4,900. What is the minimum
amount of money that he should set aside in an emergency fund?
4900 X 3 (minimum)
$14700
$25200
$8400
$15000
Term 9 of 145
Sources of retirement income include Social Security, other public _________ plans, employer
pension plans, personal retirement plans, and _________
pension annuities
revenue bonds
operating leases
contributions
, Term 10 of 145
The education IRA is also called the Blank______.
Coverdell education savings account
Pension fund
Roth ira
529 college savings plan
Term 11 of 145
A _______ is a fund whose shares are issued by an investment company only when the fund is
organized. only a certain number of shares are available to investors
shares are purchased on the stock exchange
closed end fund
index fund
money market fund
hedge fund
Term 12 of 145
If you work for a nonprofit or the government, you can take advantage of tax-sheltered plans,
such as Section 457 and 403(b) plans, which lower your taxable ____________ by the amount of your
annual contribution.
assets
savings
expenses
income
