Kahoot Questions
Savings is...
A) Income not used for consumption or immediate wants
B) Money that you spend as soon as you get
C) Funds that are used to only purchase necessities
D) Money that only companies and businesses, NOT individuals, save/store up
A) Income not used for consumption or immediate wants
When an individual puts money in a savings account...
A) The bank takes all of their money and the individual never gets it back
B) Both the individual, the bank, and other people are able to benefit
C) People can borrow the money freely- without paying it back or interest
D) The bank just keeps it- no interest is ever gained on the account
B) Both the individual, the bank, and other people are able to benefit
Investment is the use of funds in a way to allow for a future benefit.
True or False?
True
The two main players in the financial system (not including financial intermediaries) are...
A)Loan sharks and banks
B)Producers and consumers
C)Insurance markets and bond markets
D)Savers and borrowers
D)Savers and borrowers
In a capital market, financial assets are held for less than a year.
True or False?False
Which best describes the primary market?
A)Where financial assets can only be redeemed by the original buyer
B)The resale market for financial assets, like stocks
C)Where financial assets are held for less than a year
D)Where financial assets are held for more than a year
A)Where financial assets can only be redeemed by the original buyer
Which of the following are financial assets (select multiple answers):
A)Buildings
B)Stocks
C)Bank deposits
D)Patents
B)Stocks and C)Bank deposits
Which of the following is true about a mutual fund?
A)It is a banking financial intermediary
B)Investors own same number shares of the fund, despite how much they invest
C)It gathers money from many individual investors
D)The mutual fund keeps the money, but doesn't invest in financial assets
C)It gathers money from many individual investors
The saver's initial deposit is called the...
A)Principal
B)Savings number
C)Interest rate
D)First investment
A)Principal
Simple interest and compound interest are the same thing.
True or False?
False
Which is the formula for calculating the total value of an account?
A)Principal - interest rate
B) P(1+r)t
C)Year 1 interest + Year 2 interest
D)(Principal + year 1 interest + year 2 interest + ...) * interest rate
B) P(1+r)t
Which of the following are common examples of financial assets sold in both the secondary and primary market? (select multiple answers)
A)Stocks
B)Property
C)Vehicles
D)Bonds
A)Stocks and D)Bonds
An institution that invests savers' funds in financial assets is a...
A)Financial system
B)Financial intermediary
C)Investormediary
D)Certificate of Deposit
B)Financial intermediary
Which is an example of a nonbank financial intermediary?
A)Commercial bank
B)Credit union
C)Pension fund
D)The stock market
C)Pension fund
What two factors are used to categorize financial markets?
A)Money and products
B)Time and money
C)Capital market and money market
D)Time and resalability
D)Time and resalability
What are the two time-sensitive markets?
A)Primary market and secondary market
B)The financial market and the mutual fund
C)Capital markets and money markets
D)The stock market and bond market
C)Capital markets and money markets